A Project's Operating Cash Flow Will Increase When The

question 33

Multiple Choice

A project's operating cash flow will increase when the:

• A)depreciation expense increases.
• B)sales projections are lowered.
• C)interest expense is lowered.
• D)net working capital requirement increases.
• E)earnings before interest and taxes decreases.

---

Definitions:

Management Fee Revenue

Income earned by an entity for providing managerial services or advice to other companies.

Supplying Service

The act of providing a service to customers, clients, or inside an organization as opposed to delivering a tangible product.

Cost

The amount of money or resources expended to acquire an asset, service, or achieve a specific objective.

Cash

Money in the form of currency, which includes bills and coins, that can be used to purchase goods and services.