The term ___________ refers to the fact that these cash flows reflect the amount by which the company's total after-tax free cash flows will change if the project is adopted.

Question

Quizplus · Accepted Answer

The term "incremental" refers to the fact that the cash flows being considered are the additional cash flows that will result from adopting the project, as compared to the cash flows that would have been generated without the project. This incremental cash flow analysis is important in determining whether or not a project is worth pursuing.

The Term ___________ Refers to the Fact That These Cash