Incremental cash flows: Difference between revisions
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imported>Doug Williamson (Add link.) |
imported>Doug Williamson (Add links.) |
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== See also == | == See also == | ||
* [[ | *[[Cash]] | ||
*[[Cash balance]] | |||
*[[Cash flow]] | |||
* [[Cash flow statement]] | |||
* [[Discounted cash flow]] | * [[Discounted cash flow]] | ||
*[[Incremental]] | *[[Incremental]] | ||
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* [[Opportunity cost]] | * [[Opportunity cost]] | ||
* [[Scarce resource analysis]] | * [[Scarce resource analysis]] | ||
* [[Sunk cost fallacy]] | |||
* [[Sunk costs]] | * [[Sunk costs]] | ||
Latest revision as of 22:55, 18 July 2022
In financial decision making, the incremental cash flows are those which will be different, depending on whether or not the decision is implemented.
It is only the incremental cash flows which should be taken account of in making the related financial decision.
For example, 'Sunk costs don't count'.