Question: Referencing textbook readings, lecture material, and current business resources explain why sunk costs should not be included in a capital budgeting analysis but opportunity costs
Referencing textbook readings, lecture material, and current business resources explain why sunk costs should not be included in a capital budgeting analysis but opportunity costs and externalities should be included. Give an example of each. Also, explain why net operating working capital is included in a capital budgeting analysis and how it is recovered at the end of a projects life.
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