Use the Following Two Statements to Answer This Question

Use the following two statements to answer this question:
I.The initial after-tax cash flow refers to the total cash outlay that is required to initiate an investment project and can be depreciated for tax purposes.
II.The capital cost of an investment refers to all costs incurred to make an investment operational, which includes the additional working capital requirements.

A) I and II are correct.
B) I and II are incorrect.
C) I is correct, II is incorrect.
D) I is incorrect, II is correct.