Sources of cash outflows from capital investments include incremental expenses and installation costs. True or False...

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Sources of cash outflows from capital investments include incremental expenses and installation costs. True or False True False

business accounting

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Answer 1

Answer #1

Installation costs and incremental expenses form part of cost of the investment as these expenses are done to bring the asset to its present location and condition

So, any cash outflow related to these expenses will be added to investment and will be shown as a cash outflow from the investing activities section of statement of cash flows

So, as per above discussion, the statement given in the question is True

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Answer 2

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Sources of cash outflows from capital investments include incremental expenses and installation costs. True or False...

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