Question: Why are interest charges not deducted when a projects cash flows for use in a capital budgeting analysis are calculated? Define a) sensitivity analysis, b)
Why are interest charges not deducted when a projects cash flows for use in a capital budgeting analysis are calculated? Define a) sensitivity analysis, b) scenario analysis, c) simulation analysis. If GE were considering two projects (one for $500 million to develop a satellite communications system and the other for $30000 for a new truck), on which the company be more likely to use a simulation analysis
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