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Problem - Allstar Exposure designs and sells advertising services to small, relatively unknown companies. Last month, Allstar had sales commissions costs of $50,000, technology costs of $75,000, and research and development costs of $200,000. Selling expenses were $10,000, and administrative expenses equaled $35,000. Sales totaled $410,000.
Required -
Prepare an income statement for Allstar for the past month.
Briefly explain why Allstar's income statement has no line item for cost of goods sold.
What is the NPV of Applebee's investment in tableside tablets for its restaurants? Calculate the NPV of the investment in the tablets using discount rate of 6%
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