Question: Question No. 4 a. What do you mean by sunk cost? Give an example of sunk cost. In determining the expected cash flows from a

Question No. 4 a. What do you mean by sunk cost?

Question No. 4 a. What do you mean by sunk cost? Give an example of sunk cost. In determining the expected cash flows from a new investment project, why should past sunk costs be ignored in the estimates? [5] c. Define capital structure. Describe the different relevant factors which determine the capital structure in your own words

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