Opportunity Costs Include Those Cash Inflows That Could Be Generated

question 29

True/False

Opportunity costs include those cash inflows that could be generated from assets the firm already owns if those assets are not used for the project being evaluated.

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Definitions:

Hazardous Substances

Materials that can pose a risk to health, safety, and the environment if not properly handled or contained.

CEQ

Council on Environmental Quality, a federal agency that advises the United States president on environmental policy and issues.

Chlorofluorocarbons

Chemical compounds that were widely used as refrigerants and aerosol propellants until they were found to deplete the ozone layer.

Ozone Layer

A layer in the Earth's stratosphere containing a high concentration of ozone, which absorbs most of the sun's ultraviolet radiation, protecting life on Earth.