Which of the Following Statements Is FALSE

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 - τc) × 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.