A project which have one series of cash inflows and results in one or more cash outflows is classified as

A abnormal costs
B normal cash flows
C abnormal cash flow
D normal costs

Correct Answer: normal cash flows

A project which have one series of cash inflows and results in one or more cash outflows is classified as normal cash flows. Normal cash flow is the cash flow stream that comprises of initial investment outlay and then positive net cash flow throughout the project life. It is also called conventional cash flow stream.
Bissoy MCQ
#Commerce #Financial Management

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