Evaluating a new project by current rental income

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Reference no: EM1339576

Q1) When evaluating a new project, the firm should consider all of the following factors except:

a. Changes in net operating working capital attributable to the project.

b. Previous expenditures associated with a market test to determine the feasibility of the project, if the expenditures have been expensed for tax purposes.

c. Current rental income of a building owned by the firm if it is not used for this project.

d. The decline in sales of an existing product directly attributable to this project.

e. All of the statements above should be considered.

Reference no: EM1339576

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