Assume your firm has an unused machine that originally cost $90 000, has a book value of $40 000 right now, and can be sold right now for $20 000 Ignoring taxes, the correct opportunity cost for this machine in capital budgeting decisions is: Select one: O a. $50 000 O b. $20 000 O c. $90 000 d. $40 000

Assume your firm has an unused machine that originally cost $90 000, has a book value of $40 000 right now, and can be sold right now for $20 000 Ignoring taxes, the correct opportunity cost for this machine in capital budgeting decisions is: Select one: O a. $50 000 O b. $20 000 O c. $90 000 d. $40 000

EBK CONTEMPORARY FINANCIAL MANAGEMENT

14th Edition

ISBN:9781337514835

Author:MOYER

Publisher:MOYER

Chapter9: Capital Budgeting And Cash Flow Analysis

Section: Chapter Questions

Problem 6P

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