Eastlick Dairy invests in a new kind of frozen dessert called polar cream that b

Question

Eastlick Dairy invests in a new kind of frozen dessert called polar cream that becomes very popular. So many new customers come to the new store that the sales of existing ice cream products are also increased. The extra sales revenue: a. should not be counted as incremental revenue for the project because the sales ome from existing products. b. are synergistic effects that should be counted as incremental revenue for the project. c. are cannibalized sales that should be excluded from the analysis d. should be included in the analysis, but the cost of the ice cream sold should not since that is a recurring expense.

Explanation / Answer

d. should be included in the analysis, but the cost of the ice cream sold should not since that is a recurring expense.

Related Questions

Navigate

• Browse (All)
• Browse E
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.