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A company is evaluating the replacement of the office copier. The selling price of the existing copier should be considered in that evaluation True False Assume project X requires additions to net working capital in each year of its life, all to be recovered at the end. In this case, the present value of the networking capital recovery will exceed the total dollar outlays on net working capital, True False The EAC method for evaluating projects applies when the projects have different economic lives. True False oints Save Answer A new project is expected to have the following effects on the financial statements of a firm. The effect of a decrease in accounts receivable should be included in the net working capital requirements for the project. True False Incremental cash flows are defined as: a. The changes in the firm's future cash flows that are a direct consequence of accepting a project. Ob. Those cash flows that have already occurred and will not change whether or not a new project is accepted. c. Any change in the future net income of a firm that results from a new project being implemented. Od. The total cash flows of a firm from the point at which a project is implemented until the point at which the project ends. e. The cash flows that are foregone when a new project or activity is accepted