In Capital Budgeting What Matters Is Not the Project's Total

question 2

Multiple Choice

In capital budgeting what matters is not the project's total cash flow per period,but the ___________ cash flows generated by the project.

• A)sales-creating
• B)incremental
• C)base-case
• D)parent

---

Definitions:

Office Equipment

Fixed assets intended for use over a long period of time for the purpose of performing office-related tasks.

Services Rendered

Work or services provided by a business or individual, typically in exchange for payment.

Cash Payments Journal

A financial accounting journal used to record all transactions that result in cash payments, including operating expenses, asset purchases, and debt repayments.

Employees' Salaries

Fixed payments made to employees for their services over a specific period, not immediately influenced by changes in business activity levels.