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1. Since capital budgeting decisions involve the estimation of a project's future cash flows and the rate at which they should be discounted is still

1. "Since capital budgeting decisions involve the estimation of a project's future cash flows and the rate at which they should be discounted is still a relatively subjective process, the behavioral traits of managers still affect this process." Discuss this statement and suggest how managers can better improve their ability to eliminate biases in their forecasting.

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