MU Wk 7 Accounting Boeings Capital Budgeting Process Discussion

Posted on | by CWP

Question Description

I’m working on a accounting discussion question and need guidance to help me learn.

Watch the video on Boeing’s capital budgeting process for its Dreamliner aircraft (time 6:59 – link is on the module page).  Answer the following questions:
1.  What role may have sunk costs had in the Boeing process?  Search on the internet for other examples of dealing with sunk costs in the capital budgeting process.
2.  How does Boeing account for uncertainties, or risks, in the cash flow forecasts?

Explanation & Answer:
200 words

Tags:
accounting

The Boeing Company

cash flow forecasts

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