Question: During a coffee room debate among several young M B A s who had

During a coffee-room debate among several young M.B.A.s who had recently graduated, one of the young executives flatly stated, “The most this company can lose on its Brazilian division is the amount it has invested (its fixed costs).” Not everyone agreed with this statement. In what sense is this statement correct? Under what circumstances could it be false? Explain.


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  • CreatedNovember 18, 2014
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