Which of the Following Statements Is FALSE

question 93

Multiple Choice

Which of the following statements is FALSE?

• A) The terminal of 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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First Column

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Second Column

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Pork Chops

A cut of pork sliced perpendicular to the spine, typically containing a rib or part of a vertebra, served as an individual portion.

US$3.99

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