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Incidental Effect: A. A project that affects another part of the firm. B. A new

ID: 2722071 • Letter: I

Question

Incidental Effect:

A. A project that affects another part of the firm.

B. A new product that is unrelated to the firm s current operations.

C. A project that cannot be taken at the same time as another project.

D. A project that causes a cash outlay that has already been incurred and that cannot be recovered regardless of whether the project is accepted or not.

E. None of the above.

A. A project that affects another part of the firm.

B. A new product that is unrelated to the firm s current operations.

C. A project that cannot be taken at the same time as another project.

D. A project that causes a cash outlay that has already been incurred and that cannot be recovered regardless of whether the project is accepted or not.

E. None of the above.

Explanation / Answer

D. A project that causes a cash outlay that has already been incurred and that cannot be recovered regardless of whether the project is accepted or not.