How is the cash flow expressed in terms of time?
The cash flow is expressed in moments.
The moment zero reflects all the outflows prior to the sta...
How is the cash flow expressed in terms of time?
The cash flow is expressed in moments. The moment zero reflects all the outflows prior to the start of the project. If a project is expected to replace an asset during the evaluation period, both the income from the sale of the old equipment and the expense from the purchase of the new equipment will be considered at the time of replacement.
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