Custom Tailored Shirts is a specialty retailer offering T-shirts,sweatshirts,and caps.Its most recent annual sales consisted of $14,000 of T-shirts,$11,000 of sweatshirts,and $1,300 of caps.The company is adding polo shirts to the lineup and projects that this addition will result in sales next year of $14,000 of T-shirts,$8,000 of sweatshirts,$7,800 of Polo shirts,and $1,300 of caps.What sales amount should be used when evaluating the Polo shirt project?

Question

Quizplus · Accepted Answer

Sales = ($14,000 + $8,000 + $7,800 + $1,300) - ($14,000 + $11,000 + $1,300) = $4,800

Custom Tailored Shirts Is a Specialty Retailer Offering T-Shirts,sweatshirts,and Caps