When you finance a project partly with debt,you should still view the project as if it were all equity-financed,treating all cash outflows required for the project as coming from stockholders,and all cash inflows as going to them.

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Quizplus · Accepted Answer

This statement is true. When financing a project partially with debt, it is important to evaluate the project as if it were all equity-financed to properly assess the impact on stockholders. This allows for a thorough analysis of the project's cash inflows and outflows and helps to determine the potential return on investment for shareholders.

When You Finance a Project Partly with Debt,you Should Still