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12. A proposed project will increase a firm's net working capital needs. This increase is generally: A. treated as an erosion cost. B. treated as

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12. A proposed project will increase a firm's net working capital needs. This increase is generally: A. treated as an erosion cost. B. treated as an opportunity cost. C. a sunk cost and should be ignored. D. a cash outflow at time zero and a cash inflow at the end of the project. E. a cash inflow at time zero and a cash outflow at the end of the project. Answer questions 13-14 as EITHER True or False (total 4 pts): 13. A firm may choose to pay common stock dividends even if they have no money to pay preferred stock dividends. 14. A zero NPV project will decrease shareholder wealth

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