Question: a) How do we determine if cash flows are relevant to the capital budgeting decision? (5) b) What are the different methods for computing operating

a) How do we determine if cash flows are relevant to the capital budgeting decision? (5)

b) What are the different methods for computing operating cash flow, and when are they important? (6)

c) What is equivalent annual cost, and when should it be used? (5)

d) How should cash flows and discount rates be matched when inflation is present? (5)

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