Question: Save Answer Question 24 3 points You company is anayning cash flows in order to conduct a capital budgeting analysis for a new product line.
Save Answer Question 24 3 points You company is anayning cash flows in order to conduct a capital budgeting analysis for a new product line. The company estimates that sales of the new product will be $200.000 per month when capital budgering is this cash flow relevant? Why? 01.Nets cash flow only would occur if the new product line is adopted, therefore is not an incremental cash flow. z. Yes, the cath flow onty would occur if the new product lives adopted, therefore as an opportunity cash flow which is relevant 3. No there are other valuable alternatives that would be given up if this product line is pursued, so it is not a relevant cash flow. 4. Yes, this cash fow only would occur if the new product lines adopted, therefore is an incremental cash flow which is relevant
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