In terms of revenues and costs for a project,which of the statements below is FALSE?
A)Projected revenues and costs are estimates of future activity.
B)Estimates of revenues and costs begin with operating cash flow of the project.
C)Projected revenues and costs form the basis of the potential for a project's acceptance or rejection.
D)Estimates of revenues and costs begin with sales forecasts and the production costs associated with the sales forecast.

Question

Quizplus · Accepted Answer

Estimates of revenues and costs do not necessarily begin with operating cash flow of the project. Instead, they typically begin with sales forecasts and associated production costs, which are used to calculate operating cash flow.

In Terms of Revenues and Costs for a Project,which of the Statements