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13 and 14 C. Project A to have a smaller net present value than project B. O d. Project B's cash flows to be more

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13 and 14

C. Project A to have a smaller net present value than project B. O d. Project B's cash flows to be more uncertain than project A's cash flows. Question 13 Which of the following statements is true? Not yet Select one: Points out of 1.00 F Flag a. If the new project is riskier than the firm's existing projects, then it should be charged the firm's cost of capital. O b. If the new project is riskier than the firm's existing projects, then it should be charged a higher cost of capital. O c. If the new project is riskier than the firm's existing projects, then it should be charged a lower cost of capital. O d. The new project's risk is not a factor in determining its cost of capital. All of the following are incremental cash flows attributable to the project EXCEPT Not yet answered Points out of 1.00 P Flag question Select one: a. financing costs. O b. opportunity costs. O c. substitutionary effects O : d. complementary effects

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