The Bottom-Up Approach to Computing the Operating Cash Flow of a Project

question 33

Multiple Choice

The bottom-up approach to computing the operating cash flow of a project applies only when

• A)both the depreciation expense and the interest expense are equal to zero.
• B)the project is a cost-cutting project.
• C)the interest expense is equal to zero.
• D)no fixed assets are required for the project.
• E)taxes are ignored and the interest expense is equal to zero.

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