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Estilo Company has three operating segments with the following information:
Paper Pencils Hats
Sales to outsiders.............$8,000 $4,000 $6,000
Intersegment transfers......... 600 1,000 1,400
In addition, corporate headquarters generates revenues of $1,000.
What is the minimum amount of revenue that each of these segments must generate to be considered separately reportable?
a) $1,800
b) $1,900
c) $2,000
d) $2,100
Compute the investment's net present value, rounding calculations to the nearest dollar.
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