A Top Manager at Belcourt Ltd

question 56

Multiple Choice

A top manager at Belcourt Ltd.thinks the company should sell off a division that has so far failed to achieve a return on investment that is required at Belcourt.Which of the following would MOST weaken the manager's argument to sell off the division?

• A) Some other divisions at Belcourt have had even lower returns on investment than the division the manager wants to sell off.
• B) The division's product is gaining in popularity with consumers.
• C) Other companies don't have return on investment expectations as high as those at Belcourt.
• D) The division in question uses a technology that was developed outside of Belcourt.
• E) If Belcourt sold off the division,outsiders might think a new trend was developing with the product the division makes.