Danielle's Is a Furniture Store That Is Considering Adding Appliances

question 37

Multiple Choice

Danielle's is a furniture store that is considering adding appliances to its offerings.Which of the following should be considered incremental cash flows of this project?
I.utilizing the credit offered by a supplier to purchase the appliance inventory
II.benefiting from increased furniture sales to appliance customers
III.borrowing money from a bank to fund the appliance project
IV.purchasing parts for inventory to handle any appliance repairs that might be necessary

• A)I and II only
• B)III and IV only
• C)I, II, and IV only
• D)II, III, and IV only
• E)I, II, III, and IV

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Definitions:

Mental Models

are internal representations of how things work in the external world, shaping how individuals interpret events and make decisions.

Specialized Knowledge

Expertise or skills in a specific area or field, which sets individuals or teams apart from others in terms of capabilities.

Process

A series of actions or steps taken in order to achieve a particular end.

Knowledge Adaptation

The process of adjusting and applying acquired knowledge to new situations or contexts.