When computing the adjusted cash flow from assets, the tax amount is calculated as: O EBT(TC). O (EBT - Depreciation) (TC). O (EBIT + Depreciation - Change in NWC - Capital spending)(Tc). O EBIT(T). (EBIT - Depreciation - Change in NWC - Capital spending)(Tc).

Incorrect Question 14 0/6.67 pts Assume a firm's flotation costs are 7.8 percent of the funding need. Accordingly, when analyzing capital projects, the firm's managers should: increase the project's discount rate to offset these expenses by multiplying the company's WACC by 1.078 . increase the project's discount rate to offset these expenses by dividing the company's WACC by (1078). add 7.8 percent to the company's firm's WACC to determine the discount rate for the project. increase the initial project cost by multiplying that cost by 1.078 . increase the initial project cost by dividing that cost by (1.078)