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Assume your firm has an unused machine that originally cost $90 000, has a book value of $40 000 right now, and can be
Assume your firm has an unused machine that originally cost $90 000, has a book value of $40 000 right now, and can be sold right now for $20 000. Ignoring taxes, the correct opportunity cost for this machine in capital budgeting decisions is: Select one: O a. $50 000 b. $20 000 O c. $90 000 O d. $40 000
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Answer is B 20000 Opportunity cost is the loss or gain of making a decision ...
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Governmental and Nonprofit Accounting
Authors: Robert Freeman, Craig Shoulders, Gregory Allison, Robert Smi
10th edition
132751267, 978-0132751261
