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Investment decision principles (See Chapter 18 of the Vernimmen)
"Any well-advised Investment decision must comply with the following six principles: consider cash flows rather than accounting data; reason in terms of incremental cash flows considering only those associated with the project; reason in terms of opportunity; disregard the type of financing; consider taxation; and above all, be consistent."
Investment decision principles (See Chapter 18 of the Vernimmen)
"Any well-advised Investment decision must comply with the following six principles: consider cash flows rather than accounting data; reason in terms of incremental cash flows considering only those associated with the project; reason in terms of opportunity; disregard the type of financing; consider taxation; and above all, be consistent."
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