9.) Management is considering twoalternatives. Alternative A hasprojected revenue per year of $100,000 and costs of $70,000 while Alternative B has revenue of$100,000 and costs of $60,000. Bothprojects require an initial investment of $250,000 of which $75,000 has alreadybeen set aside and will be used as a down payment on the project that ischosen. There are also other qualitative factors that management must considerbefore making a final choice. Which of the following statements is correctabout relevant costs and relevant revenues.

(2 Points)

The projected revenues are relevant to the decision

The sunk cost of $75,000 is relevant

The only relevant item are the costs as they differ between alternatives

The initial investment of $250,000, the projected revenues, and the projected costs are all relevant