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8. Calculate incremental cash flow for the more expensive project Alternative X Cash Flow -$100,000 25,000 25,000 30,000 30,000 Alternative Y Cash Flow -$125,000 30,000
8. Calculate incremental cash flow for the more expensive project Alternative X Cash Flow -$100,000 25,000 25,000 30,000 30,000 Alternative Y Cash Flow -$125,000 30,000 32,000 35,000 38,000 Incremental Cash Flow Time Period 4 Suggest a situation where one would not need to use the incremental cash flows and incremental IRR to evaluate the two alternatives
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