Suppose that Chick-fil-A ( the fast food restaurant) wants to examine a project where they would sell their chicken nuggets and their chicken patties in the freezer section of the grocery store. This would allow people to buy a bag of the chicken and make their own sandwiches.

Use your creative thinking abilities and describe each of the following in detail. Consider the examples from the book and the slides. These must relate to the specific Chick-fil-A plan described.

• Tell me a potential sunk cost for this project. How would this impact the business case. Would it increase or decrease the NPV?
• Tell me a potential negative externality for this project. How would this impact the business case. Would it increase or decrease the NPV?
• Tell me a potential positive externality for this project. How would this impact the business case. Would it increase or decrease the NPV?

You can be creative, but be logical. My goal is to assess if you know what these things are. Be detailed and thorough in your explanation. This is your chance to show me that you grasp these concepts.