The correct answer is: Whether to retain more profits for reinvestment in the business.

Decisions on the level of retentions are financing decisions, not investment decisions.

Whether to go ahead with an advertising campaign is a decision that will involve the expenditure of funds in the anticipation of earning additional profits. It is therefore an investment decision.

A takeover would involve the outlay of additional funds with the aim of increasing group profits. This is therefore an investment decision.

A research project would involve the outlay of funds now with the aim of increasing future company profits. This is therefore an investment decision.