Question: Externalities in capital budgeting projects are difficult to quantify and should never be included in financial analyses. a. True b. False A critical rule in

Externalities in capital budgeting projects are difficult to quantify and should never be included in financial analyses.

a. True b. False

A critical rule in capital budgeting and financial analysis of projects is that decisions must be based on incremental cash flows.

a. True

b. False

A firms equity beta is determined by the market and does not reflect business risk.

a. True

b. False

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