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d. $636,216 (plus or minus $100) Oe. None of the above is within $100 of the correct answer QUESTION 10 XYZ operates a chain of

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d. $636,216 (plus or minus $100) Oe. None of the above is within $100 of the correct answer QUESTION 10 XYZ operates a chain of bakeries and is considering the sprinkle cookie project, which would involve selling sprinkle cookies for 1 year. The firm expects sales of sprinkle cookies to be $140,000 and associated costs from flour, butter, sugar, etc. used to make sprinkle cookies to be $68,000 The firm believes that sales of frosted cookies, a type of cookie that is currently offered by the firm, would be $30,000 loss with the addition of sprinkle cookies, and that costs associated with frosted cookies would be $24,000 less with the addition of sprinkle cookies. Finally, XYZ believes that sprinkle cookies would increase traffic to its bakeries, which would increase expected sales of bread, cakes, and other items by $20,000 more than it would be without the addition of sprinkle cookies, and increase costs of bread, cakes, and other items by $10,000 more than it would be without the addition of sprinkle cookies. What is the relevant net income in year 1 that XYZ should use to analyze the sprinkle cookie project? The tax rate is 50 percent, the cost of capital is 3.6 percent, and there is no relevant depreciation. a. $36,000 (plus or minus 510) b. $44,000 (plus or minus 510) c. $38,000 (plus or minus $10) d. $28.000 (plus or minus $10) e. None of the above is within $10 of the correct answer Save All Answers Close Wind Click Save and Submit to save and submit. Click Save All Answers to save all answers. MacBook Pro

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