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In Which of the Following Situations Would It Not Be

Question 6

Multiple Choice

In which of the following situations would it not be useful to apply the concepts and techniques used in capital investment decisions?


A) A company is considering the purchase of a new machine that would reduce the cost of direct labour in the production process.
B) A company is comparing the profitability and capital investments of two district offices to determine which one has the best current return on investment.
C) A company is reviewing the past performance of two investment projects to determine which project had the best five-year return on the investment made.
D) A company is evaluating the potential investment in research and development expenses to develop a new product line.

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