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Which of the following would NOT be included in projecting the incremental net c

ID: 2776496 • Letter: W

Question

Which of the following would NOT be included in projecting the incremental net cash flow for the terminal year of a new project?

the net change in operating cash flow after taxes

the after-tax salvage value of the project

the change in the level of net working capital

the after-tax interest cost related to financing the project in the terminal year

a.

the net change in operating cash flow after taxes

b.

the after-tax salvage value of the project

c.

the change in the level of net working capital

d.

the after-tax interest cost related to financing the project in the terminal year

Explanation / Answer

the after-tax interest cost related to financing the project in the terminal year

d.

the after-tax interest cost related to financing the project in the terminal year

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