please match the correct term with the definition.

X Term Definition A Sunk Cost Choice Incurred in the past and cannot be recovered B Opportunity Cost The opposite of Erosion Costs C Financing Costs Not a cash flow. Only included in order to calculate the associated tax benefit F D Erosion Costs They occur only because of the proposed new project E Synergy Benefits The IRS process for calculating annual deductible depreciation WACC Never included in a capital budgeting analysis because they are part of WACC G Depreciation Expense Example: A new product line leads to reductions of sales in existing product lines HChanges in NWC After-tax proceeds from the sale of old equipment required for a given project 1 Net Proceeds of Disposals The Hurdle Rate used by corporations for capital budgeting purposes Example A new product line requires building up inventory balances Incremental Cash Flow A benefit that is foregone as a result of undertaking a project Tax Effects Almost all sources of revenue and expense have them and they should always be included J MACRS K L student name main