Test marketing cost be included in the analysis

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Reference no: EM131881017

1. Define the term incremental cash flow. Since the project will be financed in part by debt, should the cash flow statement include interest expenses? Explain.

2. Should the $150,000 test marketing cost be included in the analysis? Explain.

3. Suppose the Cranberry Association actually made a firm offer to lease the lite juice production site for $25,000 a year for 20 years. How should that information be incorporated into the analysis?

Reference no: EM131881017

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