Consider this expense as relevant cost for this project

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Reference no: EM131999648

1. If a firm has spent $20,000 for a project feasibility analysis, do we need to consider this expense as a relevant cost for this project? Why?

2. If you have a backyard and you have not used it for any business purpose. Now you want to use the backyard to do some family business. Is it considered cost free for your business? Why?

3. How to estimate a project’s cash flows? Is it the same as the operating cash flows?

Reference no: EM131999648

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