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Author Question: Inflation (or deflation) occurs in Canada and other countries, so it should be considered in a ... (Read 109 times)

bubba123

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Question 1

In reality, with capital budgeting analysis we should discount cash flows based on the exact moment when they occur. So, we should estimate daily cash flows, not annual cash flows, and analyze them.

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Question 2

Inflation (or deflation) occurs in Canada and other countries, so it should be considered in a capital budgeting analysis. Forgetting to include inflation in a capital budgeting analysis normally causes the estimated NPV to be higher than the true NPV; this could cause a company to accept a project it should have rejected. 

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Marked as best answer by bubba123 on Aug 7, 2023

reactx

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Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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bubba123

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Reply 2 on: Aug 7, 2023
Wow, this really help


hramirez205

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Reply 3 on: Yesterday
Gracias!

 

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