A. The payback method is used to analyze alternative investment opportunities, not management performance.

B. A cost center is a type of center in responsibility accounting classifications that is responsible only for the incurrence of costs. A cost center does not have any revenue, and therefore does not have any profit. Thus, a return on assets ratio cannot be calculated for a cost center.

C. A cost center is a type of center in responsibility accounting classifications that is responsible only for the incurrence of costs. A cost center does not have any revenue, and therefore does not have any profit. Thus, performance evaluation based on variance analysis of costs is the best basis for performance evaluation of a cost center manager.

D. Cost center is a type of center in responsibility accounting classifications that is responsible only for the incurrence of costs. A cost center does not have any revenue, and therefore does not have any profit. Thus, a return on investment ratio cannot be calculated for a cost center.