relevant cash flows

the cash inflows or outflows which occur as a result of a project will be included as the relevant (also called incremental) cash flows. For example, specific fixed costs for a project are a relevant cost because they only have to be paid if the project goes ahead. Those costs which have to be paid out whether or not the project goes ahead are irrelevant. The relevant cash flows are the cash flows which should be used for capital investment appraisal purposes.

单词	relevant cash flows
释义	relevant cash flows relevant cash flows the cash inflows or outflows which occur as a result of a project will be included as the relevant (also called incremental) cash flows. For example, specific fixed costs for a project are a relevant cost because they only have to be paid if the project goes ahead. Those costs which have to be paid out whether or not the project goes ahead are irrelevant. The relevant cash flows are the cash flows which should be used for capital investment appraisal purposes.
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