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Kaevyn04 Kaevyn04
wrote...
Posts: 480
4 years ago
Which of the following factors that a manager should bear in mind when estimating a project's revenues and costs is NOT correct?

▸ Prices and costs tend to rise with the general level of inflation in the economy.

▸ A new product typically has its highest sales immediately after release as customers are attracted by the novelty of the product.

▸ The prices of technology products tend to fall over time as newer, superior technologies emerge and production costs decline.

▸ Sales of a product will typically accelerate, stabilize, and then decline as the product becomes outdated or faces increased competition.
Textbook 
Fundamentals of Corporate Finance

Fundamentals of Corporate Finance


Edition: 2nd
Authors:
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wrote...
4 years ago
A new product typically has its highest sales immediately after release as customers are attracted by the novelty of the product.
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