(Appendix 8C)The Investment in Working Capital at the Start of an Investment

question 35

True/False

(Appendix 8C)The investment in working capital at the start of an investment project can not be deducted from revenues when computing taxable income.

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Definitions:

Net Worth

The difference between a person’s assets (what is owned) and that person’s liabilities (what is owed).

Liabilities

Financial obligations or debts that a company or individual owes to others.

Kilowatt-Hour

A unit of energy equivalent to one kilowatt of power expended for one hour of time, commonly used to measure electricity consumption.

Watts

The SI unit of power, indicative of the rate at which energy is transferred or converted.