Which one of the following is NOT part of the estimated net investment (NINV) for a capital budgeting project? The estimated salvage value of the new assets at the end of their 10-year expected economic life. The immediate increase in net working capital required by the project. The after-tax salvage value of assets to be replaced by the project. The cost of new assets required by the project
The correct answer to the following question will be Option A.
Explanation:
Net investment or expenditure seems to be the total money that a business invests on financial assets, less the deferred revenue of those resources. This statistic gives people a sense of real spending on capital products such as plants, machinery, including technology used throughout the activities of the business.
The effective improvement including its program's net income, after-tax recovery value of the properties to have been substituted by the task.
So that the above option A is not related to the given scenario.
