FINA 7001 Business Finance 1 Week 7: Assignment 2 – MC#3
Fanshawe College of Applied Arts and Technology (Fanshawe )
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FINA-7001 Business Finance 1 Week 7: Assignment 2 – MC#3
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---12augustus 20212021/2022A+
- FINA-7001 Business Finance 1 
Week 7: Assignment 2 – MC#3 
P a g e 1 | 12 
1. A Canadian oil company is considering whether or not to develop a site it has been exploring for 
the past six months. One of the arguments for developing the site is that considerable time and 
money have already been expended. This cost should not be included in the capital budgeting 
decision because it is: 
a) an opportunity cost. 
b) a sunk cost. 
c) an operating cost 
d) a financing cost 
Answer: b 
2. A pharma...
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