Which of the following is not true for Capital Budgeting for a business ........

Principles of Accounting & Financial Management Capital Budgeting

Which of the following is not true for Capital Budgeting for a business?

The timing of cash flows is relevant

The existing investment within a project is not considered as the sunk cost

The cost of capital is equal to the minimum required rate of return

The capital budgeting is only related to the asset replacement decisions

The existing investment within a project is not considered as the sunk cost. The sunk cost means the cost which is incurred already.

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