A firm called Traditional Disruption is considering adding a new line of clothes: the "Rich Man's Wish" line. The new line's revenue would $600,000, but its costs would be $700,000. After some study, the firm finds that $45,000 of the line's $700,000 in costs can be avoided by using machinery the firm already owns. The firm has two other related clothing lines.

"Soft Edges" line: $2,500,000 in revenue. "Hard Rock" line: $950,000 in revenue.

If the firm adds Rich Man's Wish, then revenue for Soft Edges would increase by 10% and revenue for Hard Rock would decrease by 20%.

Based on relevant cost analysis, should Traditional Disruption add this new line or not add it?

Selected Answer:	c. They should not add the line because they are $45,000 LESS profitable if they add it.
Answers:	a. They should add the new line because they are $5,000 MORE profitable if they add it.
	b. They should add the line because they are $45,000 MORE profitable if they add it.
	c. They should not add the line because they are $45,000 LESS profitable if they add it.
	d. The should not add the line because they are $5,000 LESS profitable if they add it.