ECONOMICS

Detailed explanation-1: -Answer: An investment centerA segment of an organization responsible for costs, revenues, and investments in assets. is an organizational segment that is responsible for costs, revenues, and investments in assets. Investment center managers have control over asset investment decisions.

Detailed explanation-2: -Return on investment (ROI) is a performance measure used to evaluate the efficiency or profitability of an investment or compare the efficiency of a number of different investments.

Detailed explanation-3: -Operating assets include cash, accounts receivable, inventory, plant and equipment and all other assets held for operating purposes. It does NOT include investments in other companies, land held for future use, or a building that may be rented to others as opposed to being used in the business.

Detailed explanation-4: -The answer is Square feet occupied by the responsibility centers. Since the depreciation is related to the building, the appropriate allocation base is the square feet occupied of the responsibility center.