A firm should evaluate a project according to the incremental cash flow principle and should incorporate only negative effects on other existing projects.
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Q148: Decreases in working capital have to be
Q149: According to the incremental cash flow principle,
Q150: The incremental cash flow principle states that
Q151: It's important to keep the distinction between
Q152: Including financing costs in the cash flow
Q154: Sunk costs are monies that have already
Q155: Sunk costs, but not taxes, are irrelevant
Q156: The difference between total cash flows and
Q157: The relevance of a sunk cost to
Q158: Capital budgeting consists of two distinct processes.
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