Which of the Following Statements Is True About Relevant Cash

question 39

Multiple Choice

Which of the following statements is true about relevant cash flows?

• A) Day-to-day operating cash flows of a project are relevant cash flows.
• B) Inflation during the project's lifetime is a relevant cash flow.
• C) Depreciation expenses not relevant cash flows to be considered in the cash flow of a project.
• D) Sunk costs of engineering study to determine the feasibility of a project are relevant cash flows.
• E) Opportunity cost of land being used for the project that the firm already owns is a relevant cash flow.

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Definitions:

Disjunctive Syllogism

A valid argument form in logic where, given a disjunction and the negation of one of its terms, one logically infers the truth of the other term.

Argument By Analogy

A form of reasoning where a similarity between two cases is used to assert a similar conclusion for them.

Soldiers

Individuals serving in an army, especially those who do so by profession, engaged in military combat or activities.

Police Officers

Police officers are law enforcement personnel who are responsible for maintaining public order, enforcing laws, and preventing, detecting, and investigating crimes.