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Argus Company Anticipates That Other Sales Will Be Affected by the Acceptance

Question 104

Multiple Choice

Argus Company anticipates that other sales will be affected by the acceptance of a special order. What should the company do?


A) Reject the order.
B) Consider the opportunity cost of lost sales in the incremental analysis.
C) Accept the order.
D) Accept the order if the plant is below capacity.

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