Examveda
Examveda

Cash flows that could be generated from an owned asset by company but not use in project are classified as

A. occurred cost

B. mean cost

C. opportunity costs

D. weighted cost

Answer: Option C

Solution(By Examveda Team)

Cash flows that could be generated from an owned asset by company but not use in project are classified as opportunity costs. Opportunity costs represent the benefits an individual, investor or business misses out on when choosing one alternative over another.

This Question Belongs to Commerce >> Financial Management

Join The Discussion

Related Questions on Financial Management

Investment is the _______________.

A. net additions made to the nation’s capital stocks

B. person’s commitment to buy a flat or house

C. employment of funds on assets to earn returns

D. employment of funds on goods and services that are used in production process