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Which Factor Should Be Included in the Cash Flows Used

Question 62

Multiple Choice

Which factor should be included in the cash flows used to estimate a project's NPV?


A) all overhead costs incurred
B) interest on funds borrowed to help finance the project
C) the end-of-project recovery of any working capital required to operate the project
D) cannibalization effects, but only if those effects increase the project's projected cash flows

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