Question 10 (10 points) Which of the following would not be included in calculat

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Question 10 (10 points) Which of the following would not be included in calculating the incremental cash flow for a project? O The firm expects sales of the new product to be $5,000,000 per year. Working capital will decrease by $100,000 at t-o e firm must pay $3,000,000 for equipment to produce the new drink The firm expects sales of existing drinks to decrease by $500,000 per year because current customers will switch to the new drink. The property on which the plant will be built has bought in 1950 for $10,000. Save Save All Responses Go to Submit Quiz

Explanation / Answer

10 answer the firms experts sales of existing drinks to decrease by 500000 per year because current customers will switch to the new drink this should not be included in the calculating the incremental cash flow for a project as the decrease in the current customers will increase the new drink

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