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Question 7 (1 point) In estimating the total depreciable cost for a capital budgeting problem, which of the following items shouldn't be included? 1) Shipping

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Question 7 (1 point) In estimating the total depreciable cost for a capital budgeting problem, which of the following items shouldn't be included? 1) Shipping costs O2) Installation costs 3) The Increase in net working capital O4) All of the above Question 8 (1 point) RealTime Inc. considers purchasing of a new machine that costs $40,000 and requires an increase in net operating working capital of $2,000 at the time of purchase. What is the net investment required at t=0? 01) $42,000 O2) $40,000 3) $38,600 O4) $37,600 Question 9 (1 point) Which of the following statements about depreciation (In estimating CFt) is correct? 1) The net working capital should be depreciated. 2) The larger the depreciation, the lower the cash flow. 3) The accelerated depreciation method increases a project's NPV O4) Depreciation has no effect on cash flow estimation. Question 10 (1 point) The beta (1) value of a security is an estimate of for the security 1) The total risk 2) The diversifiable risk O 3) The market risk 4) The specific risk

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