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Author Question: Temple Inc., a household products firm, is considering production of a new detergent. In evaluating ... (Read 68 times)

allywil32

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on: Aug 7, 2023
Temple Inc., a household products firm, is considering production of a new detergent. In evaluating whether to go ahead with the project, which item should NOT be explicitly considered when cash flows are estimated?

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The company will produce the detergent in a vacant building that was used to produce another product until last year. The building could be sold, leased to another company, or used in the future to produce other Temple products.


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The company has spent and expensed for tax purposes $4 million on research related to the new detergent. These funds cannot be recovered, but the research is expected to benefit other projects that might be proposed in the future.


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The project will utilize some equipment the company currently owns but is not now using. A used-equipment dealer has offered to buy the equipment.


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The new detergent will cut into sales of the firm’s other detergents.

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Marked as best answer by allywil32 on Aug 7, 2023

AarionnaH

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Reply #1 on: Aug 7, 2023
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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allywil32

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Reply 2 on: Aug 7, 2023
Excellent

covalentbond

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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