Which of the Following Statements Is FALSE

question 35

Multiple Choice

Which of the following statements is FALSE?

• A)A capital budget lists the projects and investments that a company plans to undertake during the coming year.
• B)Income Tax = EBIT × (1 - τc).
• C)When sales of a new product displace sales of an existing product,the situation is often referred to as cannibalization.
• D)Overhead expenses are often allocated to the different business activities for accounting purposes.