Projected cash flow is typically defined to be:
A) The best case expected cash flow.
B) An average of the possible cash flows from the various scenarios.
C) The largest possible cash flow.
D) The cash flow that results in the lowest NPV but still allows the project to be accepted.
E) The most likely cash flow.

Question

Quizplus · Accepted Answer

Projected cash flow is typically an average of the possible cash flows from various scenarios, representing a balanced expectation of future cash flows.

Projected Cash Flow Is Typically Defined to Be