Electric Engines Company Is Considering Opening a Plant in Brazil

Multiple Choice

Electric Engines Company is considering opening a plant in Brazil.It will cost $4,000,000 to set up the plant and $750,000 to train employees.An additional $80,000 will be spent to build relationships with the local suppliers.The company anticipates gross profit of $4,800,000 from this new plant.Do the benefits outweigh the costs or do the costs outweigh the benefits,and by how much?

A) Costs outweigh benefits by $30,000.
B) Benefits outweigh costs by $30,000.
C) Costs outweigh benefits by $50,000.
D) Benefits outweigh costs by $50,000.