30. Which of the following describes the impact of a real option on the value of an investment opportunity?- A) real options add value to investment opportunities only when exercised- B) real options add value to investment opportunities C) real options add value to investment opportunities but they are already included in the discount rate so they should not be added as incremental cash flows. D) real options increase the costs of investment opportunities because suppliers charge extra for these options. - 31. An externality can best be described as: A) something that should not be considered in the capital budgeting process. -' B) something that always represents a negative impact - C) an example of opportunity costs D) an impact, positive or negative, that a new project would have on existing projects 32. Depreciation associated with a project will: A) cause incremental operating cash flows to decrease B) have no effect on incremental cash flows C) cause incremental cash flows to increase D) only affect the fixed asset account as depreciation is a sunk cost