Which of the following statements is false regarding capital budgeting? O If securities are fairly priced and the firm's capital structure is stable, the NPV of a fixed set of cash flows is independent of how those cash flows are financed. None of the statements is false. O When computing free cash flow, the tax effect from depreciation is negative. When a firm takes on positive NPV projects, it benefits shareholders regardless of intertemporal consumption needs if there is a good borrowing/lending market. If a decision does not affect a cash flow then the cash flow should not affect our decision