Explain the rationale as to why we should not deduct interest when undertaking a capital budgeting calculation.

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Financial reporting, financial statement analysis and valuation a strategic perspective

ISBN: 978-0324789416

7th Edition

Authors: James M Wahlen, Stephen P Baginskl, Mark T Bradshaw

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Posted Date: Aug 24, 2023 04:22 AM

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Explain the rationale as to why we should not deduct interest when undertaking a capital budgeting calculation.

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Deducting interest when undertaking a capital budgeting calculation is not recommended due to the fundamental principles and objectives of capital bud... View the full answer

Financial reporting, financial statement analysis and valuation a strategic perspective

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