Opportunity costs incurred due to a proposed project generally should be included in the capital budgeting analysis. a) True b) False

Because depreciation is a 'non-cash' expense, it has no impact on a capital budgeting analysis. a) True b) False

A cost that has already been incurred and cannot be recovered is called an 'erosion cost'. a) True b) False

We add a new product line, and as a result other product lines enjoy a higher level of sales too. This is an example of 'synergy benefits'. a) True b) False