Projects That, If Accepted or Rejected, Will Not Affect the Cash

question 33

Multiple Choice

Projects that, if accepted or rejected, will not affect the cash flows of another project are

• A) priority projects
• B) mutually exclusive projects
• C) independent projects
• D) equity projects

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Definitions:

Customer Margin

The profit derived from serving a particular customer, calculated as sales revenue minus the costs of servicing that customer.

Serving Customers

The process or actions taken to provide goods or services to customers in a way that meets or exceeds their expectations.

Activity-Based Costing

A costing methodology that assigns overhead and indirect costs to specific activities and then to products or services based on their consumption of those activities.

Machine-Hours

A measure of the amount of time machines are run in the production process, often used as a basis for allocating manufacturing overhead costs.