Which of the Following Factors Should Be Included in the Cash

question 55

Multiple Choice

Which of the following factors should be included in the cash flows used to estimate a project's NPV?

• A) All costs associated with the project that have been incurred prior to the time the analysis is being conducted.
• B) Interest on funds borrowed to help finance the project.
• C) The end-of-project recovery of any additional net operating working capital required to operate the project.
• D) Cannibalization effects,but only if those effects increase the project's projected cash flows.
• E) Expenditures to date on research and development related to the project,provided those costs have already been expensed for tax purposes.

Apply accounting principles to prepare a bank reconciliation statement.

Analyze the effects of various transactions on the bank and book balances.

Determine the adjusted bank balance and book balance after considering various adjustments.

Understand the concept of electronic funds transfer (EFT) and its importance.

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Definitions:

Goodwill

The intangible asset that allows businesses to earn a higher return than a comparable business with the same tangible assets might generate.

Price Setting

The process of determining the selling price of a product or service, based on costs, market demand, competition, and profitability goals.

Primary Considerations

The most important factors or criteria to be taken into account in a decision-making process.

Promotional Mix

The promotional mix is the combination of marketing communication tools and strategies a company uses to promote its brand or products, including advertising, sales promotion, public relations, personal selling, and direct marketing.