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C. Matching Statements and Concepts Statement Concept 1. Sum of the discounted cash flows of a project a. Corporate objective 2. Maximising shareholder wealth b.

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C. Matching Statements and Concepts Statement Concept 1. Sum of the discounted cash flows of a project a. Corporate objective 2. Maximising shareholder wealth b. Share 3. Ordering of projects by their profitability c. Project ranking 4. Has a flexible rate of return and an infinite life d. Capital structure decision 5. Allocation of capital between debt and equity e. Net present value

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