Question: f accepting a project necessitates issuing bonds, the interest on the bonds A. does not affect the decision to accept or reject the project in

f accepting a project necessitates issuing bonds, the interest on the bonds
  • A. does not affect the decision to accept or reject the project in any way
  • B. is subtracted from the project's annual free cash flows
  • C. is not included in the project's cash flows because the required rate of return implicitly accounts for the cost of raising funds
  • D. is added to the initial outlay

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