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When Terminating a Project for Capital Budgeting Purposes,the Working Capital

Question 87

Multiple Choice

When terminating a project for capital budgeting purposes,the working capital outlay required at the initiation of the project will


A) not affect the terminal cash flow.
B) decrease the terminal cash flow because it is a historical cost.
C) increase the terminal cash flow because it is recaptured.
D) decrease the terminal cash flow because it is an outlay.

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