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Torque Engine Company is considering opening a plant in China. It will cost $3,800,000 to set up the plant and $740,000 to train employees. An

Torque Engine Company is considering opening a plant in China. It will cost

$3,800,000

to set up the plant and

$740,000

to train employees. An additional

$150,000

will be spent to build relationships with the local suppliers. The company anticipates gross profit of

$4,900,000

from this new plant. Do the benefits outweigh the costs or do the costs outweigh the benefits, and by how much?

A.Benefits outweigh costs by$210,000.

B.Benefits outweigh costs by$360,000.

C.Costs outweigh benefits by$210,000.

D.Costs outweigh benefits by$360,000.

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