Question
Which of the following statements is most true in regards to evaluating a capital investment project? A - We should always develop a project cost
Which of the following statements is most true in regards to evaluating a capital investment project?
A - We should always develop a project cost and revenue estimates that are our best projection of present costs and future net cash flows.
B - We should develop an estime of our true "cost of capital" to use for discounting purposes.
C - We should seek to fund projects that have a projected positive net present value after accounting for the cost of capital.
D - We understand that there are non-financial factors that may ovverride our financial considerations
E - All of the above are true
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