Proper treatment of expenditures

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Reference no: EM13992055

Neal and Ned spend $25,000 on travel, surveys, and financial forecasts to inves- tigate the possibility of opening a bagel shop in the city. Because their suburban bagel shop has been so successful, they would like to expand their operations. What is the proper treatment of their expenditures if

They open a bagel shop in the city?
They decide not to open a bagel shop in the city?
Answer a and b assuming they are investigating opening a computer store in the city and they operate a bagel shop in the suburbs.

Reference no: EM13992055

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