Question 25 A company owns a facility which can either be leased for $100,000 per year or used for Project 1 produce a new product for the company. Project M would reduce sales within the company's oth about 10%. How should these issues be handled when estimating the new project's cash flows? Only the lease should be considered in the cash flow analysis because the cannibalization cannot be qua Project M should not move forward due to the lease and cannibalization. The lease and any potential cannibalization should be considered as charges against the project, but if to be profitable then it should continue. Neither the lease nor the expected cannibalization should impact Project M's cash flows. Previous