Ontel Engineers Proposed Developing a 10-Gigahertz Microprocessor in Early 2011

question 168

Multiple Choice

Ontel engineers proposed developing a 10-Gigahertz microprocessor in early 2011 at a cost of $20 million for a working prototype.By mid-2012,the $20 million had been spent with no prototype.The engineers request an additional $10 million to finish the project.For convenience,assume the marginal cost of producing the chip once it is developed is zero.
-In deciding whether to continue the 10-Gigahertz chip,Ontel executives should compare the __________ to the expected revenues.

• A) $20 million spent plus the extra $10 million
• B) $20 million spent
• C) extra $10 million
• D) $20 million spent minus the extra $10 million
• E) $20 million spent plus the extra $10 million plus $5 million for cost overruns

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Definitions:

JButton

A graphical user interface component in Java Swing that represents a push button which can be clicked by the user.

Action Event

An event in programming that is triggered by the user performing a specific action, such as clicking a button or pressing a key.

Click

An action typically recognized by a computer program as the pressing and releasing of a button on a pointing device.