Explain the potential problem that could arise from using ROI as the incentive measure for managers. What

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Explain the potential problem that could arise from using ROI as the incentive measure for managers. What are some specific actions a company might take to resolve this potential problem?

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Managerial Accounting

ISBN: 978-0176223311

1st Canadian Edition

Authors: Karen Wilken Braun, Wendy Tietz, Walter Harrison, Rhonda Pyp

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Question Posted: Apr 30, 2015 11:15 AM

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Explain the potential problem that could arise from using ROI as the incentive measure for managers. What

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Evaluating managers based on ROI gives them an incentive to adopt only project tha...View the full answer

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