FIN 515 Week 3 DQs

FIN 515 Week 3 DQs

FIN 515 Week 3 Discussion 1

Describe a potential capital expenditure project from the industry in which you now work or an industry in which you are interested. What is the project? Describe and provide an approximate value of the initial cash flow. Describe and provide an approximate value of the annual cash flows. Provide an estimation of the life of the project, as well as the exit costs.

FIN 515 Week 3 Discussion 2

Our textbook and lecture discuss some considerations that should be taken into account when doing capital budgeting. How will these considerations affect the project you described in the other topic? Incremental earnings, interest expenses, taxes, opportunity costs, externalities, sunk costs, cannibalization or erosion, depreciation, and salvage value; as well as others.