Question: We do not need to worry about interest expense when making a capital budgeting decision for the firm. True or False? Please give an explanation.

We do not need to worry about interest expense when making a capital budgeting decision for the firm.

True or False?

Please give an explanation. I believe the answer is false because we consider the WACC/Cost of capital when calculating NPV. But I also think it could be true because we don't directly use interest expense when calculating FCFF. I have posted this question two times now and have gotten conflicting answers.

Thank you!

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