Incremental cash flows be considered in npv calculation

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Reference no: EM132001341

Should the following incremental cash flows be considered in an NPV calculation?

a. A dividend payment that is being partially funded by a particular project’s contribution to net income for that year.

b. The sale of an old machine, that is being replaced by a new machine?

c. Potential rental income forgone from a previously unused building, owned by the firm, that is now being used as part of a new project.

d. The annual depreciation expense on new equipment purchased for a project.

e. The cost of research and development for a new product that is being put into production.

f. New equipment purchased for a project.

g. Working capital expenditures associated with a new project?

Reference no: EM132001341

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