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Grace Greeting Cards Incorporated is starting a new business venture and are in the process of evaluating its product lines. Information for one new product, traditional parchment grade cards, is as follows:
Required:
a. What are the estimated life-cycle revenues?
b. What is the estimated life-cycle operating income for the first year?
c. What is the estimated life-cycle operating income per year for the years after the first year?
d. What is the total estimated life-cycle operating income?
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