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Given: Very Probable Sales: $400,000

Question 53

Multiple Choice

Given: Very probable sales: $400,000.$300,000 could be borrowed at 8 percent interest for one year to purchase inventory.Total selling costs: $17,000.This investment project


A) probably would be carried out.
B) probably would not be carried out.
C) would be carried out only if the interest rate were higher.

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