Question ID: ICMA 10.QA.P2.040
- This topic has 1 reply, 2 voices, and was last updated 8 months ago by Brian Hock.
I was a pit confused once the answer indicates that the land value (recent appraisal 2.2M) is actually included in the initial investment, as it was purchased 8 years a go. Does this cost, or even the recent appraisal, considered a sunk cost that should not be included in any capital budgeting analysis? since there is no cash outflow at that moment.
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