Which of the Following Statements Is FALSE

question 61

Multiple Choice

Which of the following statements is FALSE?

• A)The terminal or continuation value of the project represents the market value (as of the last forecast period)of the free cash flow from the project at all future dates.
• B)The incremental effect of a project on the firm's available cash is the project's free cash flow.
• C)(1 - τ_c)× Depreciation is called the depreciation tax shield.
• D)To evaluate a capital budgeting decision,we must determine its consequences for the firm's available cash.

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Definitions:

Unconscious Thoughts

Mental processes not immediately available to consciousness, influencing behaviors and perceptions without one's awareness.

Psychoanalyst

A therapist who practices psychoanalysis, a method of mental therapy developed by Sigmund Freud, focusing on exploring unconscious conflicts.

Free Association

A psychoanalytic technique in which the patient says whatever comes to mind to uncover subconscious thoughts and feelings.

Unconscious Mind

The part of the mind that contains desires, memories, and information that are not easily accessible through conscious thought.