vocabulary terms

REPCises connect IACCOUNTNG The following are 10 technical accounting terms introduced or emphasized in this chapter. Net present value Capital budgeting Payback period Salvage value Incremental analysis Present value Return on average investment Discount rate Sunk cost Capital budget audit Each of the following statements may (or may not) describe one of these technical terms. For each statement, indicate the accounting term described, or answer "None" if the statement does not cor- rectly describe any of the terms. a. The examination of differences among revenue, costs, and cash flows under alternative courses b. A cost incurred in the past that cannot be changed as a result of future actions c. The process of planning and evaluating proposals for investments in plant assets. of action