The amount to be utilized as annual sales at the time of evaluating the project Introduction: The relevant cash flow comes under the incremental cash flow which is helpful in decision making for a project. Thus, a variation in the total future cash flows of a firm that is from the direct outcome of the choice to take a project is the relevant cash flow.

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Chapter 10, Problem 2QP

Summary Introduction

To find: The amount to be utilized as annual sales at the time of evaluating the project

Introduction:

The relevant cash flow comes under the incremental cash flow which is helpful in decision making for a project. Thus, a variation in the total future cash flows of a firm that is from the direct outcome of the choice to take a project is the relevant cash flow.

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