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Tiny Toons Engine Company is considering opening a plant in China. It will cost $3,500,000 to set up the plant and $880,000 to train employees.
Tiny Toons Engine Company is considering opening a plant in China. It will cost $3,500,000 to set up the plant and $880,000 to train employees. An additional $160,000 will be spent to build relationships with the local suppliers. The company anticipates gross profit of $4,580,000 from this new plant. Do the benefits outweigh the costs or do the costs outweigh the benefits, and by how much? a. Costs outweigh benefits by $40,000. b. Benefits outweigh costs by $40,000. c. Benefits outweigh costs by $200,000. d. Costs outweigh benefits by $200,000
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