In terms of the capital budgeting process, net cash flows are:

A) the net cash outlays required to place a project in service.
B) the funds invested in additional assets.
C) incremental changes in a firm's cash flow.
D) the outlays that have already been made.

Incremental Changes

Minor adjustments or improvements made to a product, process, or system over time.

Net Cash Outlays

Net cash outlays is a term used to describe the total cash expenditures a company makes, minus any cash inflows.

Additional Assets

Additional resources or properties acquired by a firm or individual which can be utilized for generating revenue or held as an investment.