Question
Coug Inc is currently selling 100,000 of its signature strawberry ice cream each year for $5 per serving. They plan to introduce a new chocolate
Coug Inc is currently selling 100,000 of its signature strawberry ice cream each year for $5 per serving. They plan to introduce a new chocolate ice cream next year which will sell for $7 per serving. It is estimated that after the launch sales of the strawberry ice cream will drop by 15%. This is an example of:
(2 Points)
A. Incremental Costs
B. Opportunity Costs
C. Erosion
D. Sunk Costs
E. Net Working Capital
Coug Inc is currently selling 100,000 of its signature strawberry ice cream each year for $5 per serving. They plan to introduce a new chocolate ice cream next year which will sell for $7 per serving. It is estimated that after the launch sales of the strawberry ice cream will drop by 15%. This is an example of:
(2 Points)
A. Incremental Costs
B. Opportunity Costs
C. Erosion
D. Sunk Costs
E. Net Working Capital
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