Examlex
Which of the following are magnifying lenses?
Sunk Costs
Costs that have already been incurred and cannot be recovered, which should not affect future business decisions.
Capital Budgeting
The process used by companies to evaluate and prioritize major investments or projects based on their potential to generate returns over time.
Cannibalization
The situation where a new product eats into the sales of one of the company's existing products, potentially reducing overall sales.
Net Present Value (NPV)
A valuation method used to assess the profitability of an investment by calculating the present value of expected future cash flows minus the initial investment cost.
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