Explain sunk cost and opportunity cost in npv, Financial Management

In the NPV analysis, sunk cost is not relevant whereas opportunity cost is for project evaluation.

Requirements:

Explain and justify the above statement about sunk cost and opportunity cost.

 

 

Posted Date: 2/16/2013 1:22:36 AM | Location : United States







Related Discussions:- Explain sunk cost and opportunity cost in npv, Assignment Help, Ask Question on Explain sunk cost and opportunity cost in npv, Get Answer, Expert's Help, Explain sunk cost and opportunity cost in npv Discussions

Write discussion on Explain sunk cost and opportunity cost in npv
Your posts are moderated
Related Questions
Q. Explain a variety of factors determining Dividend Policy? Dividend: - Dividend demotes to that part of net profits of a company which is distributed between shareholders as

Explain and compare forward vs. backward internalization. Forward internalization takes place when MNCs with intangible assets make FDI in order to use the assets on a larger sca

State the term nature of financial instruments. Nature of financial instruments (securities): Financial instruments (termed as securities) can be classifies in two broad

Explain about the International Finance When money crosses international boundaries businesses,individualsand governments should deal with special kinds of problems. Every c

can you help me subtract checks and balances in financial algebra

SEC Filings -Informational and financial DISCLOSURES required by SEC in order to comply with many sections of the Securities Act of 1933 and Securities and Exchange Act of1934. A n

Dow Jones Global Index (DJGI) The DJGI aims to cover 95% of market capitalisation at country level. As with FTSE and MSCI, there are the same 23 developed markets, but with gre

Given that risk-averse investors demand more return for taking on much more risk while they invest, how much more return is suitable for, say, a share of common stock, than is suit

How do risk-averse investors compensate for risk when they take on investment projects? For the reason of risk aversion, people demand elevated rates of return for taking on hi

Explain how the premium and discount are determined while assets are PTM (priced-to-market). When would the law of one price prevail in international capital markets although if fo