Your company currently produces and sells steel shaft golf clubs. The board of directors wants...
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Your company currently produces and sells steel shaft golf clubs. The board of directors wants you to consider introducing a new line of titanium bubble woods with graphite shafts. Which of the following costs is relevant?
1. The land you already own will be used for the project but otherwise, it will be sold for its market value of $700,000.
2. A $300,000 drop-in your steel shaft clubs sales if the titanium woods with graphite shafts are introduced.
3. $200,000 was spent on research and development last year on graphite shafts.
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