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The basic objective of the residual income approach to performance measurement and evaluation is to have a division maximize its ?

A. Return on investment rate.

B. Imputed interest rate charge.

C. Cash flows.

D. Income in excess of a desired minimum return.

Accounting Auditing Cost Accounting Bank Accounting Banking
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Date Posted: 2015/02/24
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Lesley Lanag CMA CPA
by Lesley Lanag CMA CPA , Senior Accountant , Takaful Emarat Insurance (P.S.C)

D. Income in excess of a desired minimum return.

Deleted user
by Deleted user

According to my point of view

D. Result in managers rejecting profitable projects.

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