The area manager of the red white and brew restaurants is

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The area manager of the Red, White, and Brew Restaurants is considering two possible expansion alternatives. The required investments, expected controllable margins, and the ROIs of each are as follows:

Project
Investment
Controllable Margin
ROI
Phoenix
$120,000
$30,000
   25%
Chicago
$540,000
$50,000
9.25%

The Red, White, and Brew segment has currently $2,000,000 in invested capital and a controllable margin of $250,000. Which one of following projects will increase the Red, White, and Brew division's ROI?

Reference no: EM13595548

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