ros文档新s7ech07net_present_value_and_capital_budgeting(公司理财_罗斯_第七版).pptVIP

Chapter Outline 7.1 Incremental Cash Flows 7.2 The Baldwin Company: An Example 7.3 The Boeing 777: A Real-World Example 7.4 Inflation and Capital Budgeting 7.5 Investments of Unequal Lives: The Equivalent Annual Cost Method 7.6 Summary and Conclusions 7.1 Incremental Cash Flows Cash flows matter—not accounting earnings. Sunk costs don’t matter. Incremental cash flows matter. Opportunity costs matter. Side effects like synergy and erosion matter. Taxes matter: we want incremental after-tax cash flows. Inflation matters. Cash Flows—Not Accounting Earnings Consider depreciation expense. You nev