Question: How do we deal with interest expense that result from taking on a project in the capital budgeting process? (Select the best choice below.) A.

How do we deal with interest expense that result from taking on a project in the capital budgeting process?

(Select the best choice below.)

A.

It is considered a synergistic incremental cash flow.

B.

It is treated as a cash outflow when estimating the incremental cash flows associated with a project.

C.

The cost of financing is reflected in the discount rate.

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