Business Finance
Why Focus on After-Tax Cash Flows in Making Investment Decisions?

Question Description

I need an explanation for this Business question to help me study.

 When making investment decisions, we focus on after-tax cash flows because: taxes must be paid.those are the cash flows available to shareholders.taxes can have a significant effect on profits.tax rates differ across companies.

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Final Answer

taxes can have a significant effect on profits.

mbitheh (648)
Boston College

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