When evaluating the cash flows from an investment,a reduction in cash outflows is treated as the same as an increase in cash inflows.

Name: When evaluating the cash flows from an investment,a reduction in cash outflows is treated as the same as an increase in cash inflows.
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A reduction in cash outflows effectively frees up cash that can be used for other expenditures, which can be considered as an increase in cash inflows. Therefore, in cash flow analysis, both are treated the same.

When Evaluating the Cash Flows from an Investment,a Reduction in Cash