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The Shoe Co. is considering adding a new line of sandals to their product line-up. Which of the following are relevant cash flows for this
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The Shoe Co. is considering adding a new line of sandals to their product line-up. Which of the following are relevant cash flows for this project?
I. the current revenue generated from the sale of their existing sandals
II. the additional revenue generated from the new line of sandals
III. a portion of the building rent
IV. the commission paid to a salesperson for selling the new sandals
a. I, III, and IV only
b. II and IV only
c. I and IV only
d. II and III only
e. II, III, and IV only
The Shoe Co. is considering adding a new line of sandals to their product line-up. Which of the following are relevant cash flows for this project?
I. the current revenue generated from the sale of their existing sandals
II. the additional revenue generated from the new line of sandals
III. a portion of the building rent
IV. the commission paid to a salesperson for selling the new sandals
| a. | I, III, and IV only | |
| b. | II and IV only | |
| c. | I and IV only | |
| d. | II and III only | |
| e. | II, III, and IV only |
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