Assume Your Firm Has an Unused Machine That Originally Cost

question 69

Multiple Choice

Assume your firm has an unused machine that originally cost $75,000,has a book value of $20,000,and is currently worth $25,000.Ignoring taxes,the correct opportunity cost for this machine in capital budgeting decisions is:

• A) $75,000
• B) $25,000
• C) $20,000
• D) $5,000

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Definitions:

Youngest Child

The term for the final-born child in a family, who may experience different parenting styles, expectations, and sibling dynamics compared to their older siblings.

Style Of Life

A concept introduced by Alfred Adler that refers to an individual's unique way of achieving superiority or success, shaped by childhood experiences, personal skills, and societal expectations.

Relatively Constant

Describes a value or condition that does not undergo substantial changes over a certain period, maintaining a consistent state within a dynamic context.

Domination

The exercise of control or influence over someone or something, or the state of being dominant.