What are the different type(s) of cash flows that need to be forecasted for a new project?

	a.	Initial Cash Flow
	b.	Operating Cash Flows
	c.	Terminal Cash Flow
	d.	All of the above

In the cash flow information for the Ping Kings project, Ping spent $300,000 for research and development of the golf clubs. Ping's tax rate is 40%. How much of this cost should be included in the initial (t = 0) cash flow for this project?

	a.	$0
	b.	$120,000
	c.	$300,000
	d.	$180,000

All else constant, how would an increase in annual depreciation affect a project's operating cash flow?

	a.	The operating cash flow would increase
	b.	The operating cash flow can go up or down.
	c.	The operating cash flow would decrease.
	d.	The operating cash flow would be unchanged.

A company expects to need to increase their net working capital by $200,000 at the beginning of a potential project's life. By how much would this event affect the project's terminal cash flow at the end of its expected life if the company's tax rate is 40%

	a.	+$200,000
	b.	-$200,000
	c.	$0
	d.	+$120,000