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Understanding Cash Flows Read Section 12-1 And Watch this follow-up explanation (Cash Flow Explanation Link) Then match each of the examples below with important cash
Understanding Cash Flows Read Section 12-1 And Watch this follow-up explanation (Cash Flow Explanation Link) Then match each of the examples below with important cash flow consideration A project for a new holiday apprel company A. Sunk Cost - the cost already happened and happen seasonality but are forecasted should not affect the current decision at hand annually B. Negative Externality called Cannibalization Revenues or Costs that occur if and only if C. Opportunity cost the project occurs D. Positive Externality The Cardellas purchased tickets to Disneyland, but everyone woke up sick and E. Incremental cash flows no one wants to go. The tickets are said to be F. Timing of Cash Flows a... (I also hope this never happens). A corporate jet was purchased 2 years ago. This could be utilized for a new project under consideration, but is considered a(n).... because it could be sold instead. General Mills launched a new Pokemon Cereal so Andrew wanted to try it out instead of Lucky Charms. This is an example of a Crayola launched a new color-stamping that only works on their ColorWonder paper. This new product is expected to also increase the sales of existing color-wonder paper. This is called a QUESTION 2 20 points
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