the capital budgeting evaluating cash flows

... independent, if the cash flows of one are unaffected by the acceptance of the other. mutually exclusive, if the cash flows of one can be adversely impacted by the acceptance of the other. 41 ... 3 B02022 – Chapter 8 -The Criteria of Capital Budgeting 23/8/2012 Steps in Capital Budgeting  Estimate cash flows (inflows & outflows).  Assess ris...

Ngày tải lên: 12/07/2014, 14:12

... Look at the change in the balance from the beginning to the end of period  These numbers are often shown at the end of the cash flow statement • Total net cash flow + the beginning cash balance ... 4a 7/17/2006 Nguyễn Tấn Bình 3 Cash Flows and Income  The income statement and the statement of cash flows meet the different demands for information  The...

Ngày tải lên: 26/10/2013, 17:15

... the next period by cash inflows (outflows). The result is negative serial correlation in cash flow changes. Accruals exclude the contemporaneous one-time outflows for working capital from the ... future operating cash flows than current operating cash flows. The model also explains other time series properties of earnings, operating cash flows and accruals. F...

Ngày tải lên: 18/02/2014, 01:20

Ngày tải lên: 23/03/2014, 03:20

... scenario. The differences of the cash flows in the base and the alternative scenario are the incremental cash flows. We denote these incremental cash flows by X t , where X t >0 indicates that the ... may force us to lease another building (then include these lease payments). These cash flows are also called incremental cash flows, since they always compare t...

Ngày tải lên: 08/05/2014, 10:11

... Identify the Purposes of the Statement of Cash Flows. Objective 1 Cash flows from investing activities: Acquisition of plant assets $(317) Proceeds from sale of plant assets 62 Net cash used ... (17) Net cash provided by financing activities $167 The Indirect Method Statement of Cash Flows (Indirect Method) Year Ended December 31, 2005 (Thousands) The Statement of...

Ngày tải lên: 19/06/2014, 18:20

... Objectives Identify and describe the various classifications of cash flows presented in a statement of cash flows. 4-51 Operating Activities Cash Flows from Operating Activities Inflows from: l Sales ... 15 18 Net cash flows from operating activities 53$ ARLINGTON LAWN CARE Statement of Cash Flows For the Year Ended December 31, 2006 ($ in thousands) Indirect Me...

Ngày tải lên: 29/06/2014, 03:20

... RISKINESS OF THE CASH FLOWS AND THE GENERAL LEVEL OF INTEREST RATES. THIS IS CALLED THE PROJECT COST OF CAPITAL IN CAPITAL BUDGETING. 4. FIND (A) THE PV OF THE EXPECTED CASH FLOWS AND/OR (B) THE ASSET’S RATE ... with the number of years the project lasts and the MIRR, to solve for the initial present value of the cash outflows. One of these cash outflow...

Ngày tải lên: 01/07/2014, 21:28

... is the PV of these cash flows? (PV $4,698.36) 3. Why should changes in net working capital be included in the cash flow analysis of a project since any investments in working capital at the ... provide cash flows of $100,000 per year at the end of each of the next three years, or L, which costs $425,000 and will provide cash flows of $200,000 per year for three...

Ngày tải lên: 03/05/2013, 22:59

... Nguyễn Tấn Bình 23 Cash flow concept Conventions on cash flows:  Inflows, or receipt flows  Outflows, or disbursement flows Total net cash flows (from three activities) equal the difference ... beginning to the end of the business period? 7/17/2006 Nguyễn Tấn Bình 6 What is called cash in the statement of cash flows • Cash, bank deposits, floats, and cash...

Ngày tải lên: 26/10/2013, 17:15