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The Austrian Candy Company is a customer centric company considering opening an additional store in a neighboring town. Adding the additional store will increase total

The Austrian Candy Company is a customer centric company considering opening an additional store in a neighboring town. Adding the additional store will increase total profits but lead to a 20 percent reduction in gross margin and operating margin, and a 15 percent decrease in return on equity. Which of the following is true? The company is becoming more operational centric Margins will recover once customer payments are received The additional store makes the business more sustainable Investors can be relied on to help fund the opening of additional stores

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