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What are the different terms for the discount rate? What does it represent and why is it used to discount cash flows when valuing projects?

What is a cash flow and how is it constructed? How are they different from earnings?

What is the principal of incremental cash flows and why is it important?

What is the sunk cost fallacy? Do sunk costs affect incremental cash flows? What is the marginal cost of using an asset that has already been purchased?

How should we account for project value and cash flows that occur after the forecast horizon? When are the different methods appropriate?

Financial Management, Finance

  • Category:- Financial Management
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