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You Are Considering Adding a Wood Shop to Your Home

Question 38

Multiple Choice

You are considering adding a wood shop to your home. You enjoy woodworking and could make some items for sale. In considering this addition, you only look at the extra cost of the shop and the potential benefits of having the shop. This is an example of


A) opportunity cost consideration.
B) sensitivity analysis.
C) marginal reasoning.
D) reasonable assumptions.

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