3 years ago

When making replacement decisions, the development of relevant cash flows is complicated when compared to expansion decisions.

Business

1 answer:

fgiga [73]3 years ago

4 0

Answer: True

Explanation:

Decision regarding an asset replacement is usually based on both the internal rate of return and the net present value of the incremental cash flows.

Therefore, it should be noted that this brings about the complications when comparing the development of relevant cash flows to the expansion decisions.

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