The solution obtained from an assignment problem is an optimal answer to the problem of shipping goods from multiple sources to multiple destinations

________ is the difference between the average cost and price of all merchandise in stock as used by the middlemen.

a) Markup b) Net margin c) Gross margin

Your firm is considering investing in one of two mutually exclusive projects. Project A requires an

initial outlay of $3,500 with expected future cash flows of $2,000 per year for the next three years. Project B requires an initial outlay of $2,500 with expected future cash flows of $1,500 per year for the next two years. The appropriate discount rate for your firm is 12% and it is not subject to capital rationing. Assuming both projects can be replaced with a similar investment at the end of their respective lives, compute the NPV of the two chain cycle for Project A and three chain cycle for Project B. A) $2,865 and $94 B) $3,528 and $136 C) $5,000 and $1,500 D) $2,232 and $85