When conducting capital budgeting, it is important to include interest rates as a cash outflow to account for any debt your firm expects to take on in financing a project. False. Debt is a financing decision and seperate from the value of the project itself True. Since the cost of debt is included in estimating the WACC which discounts future cash flows, it should also be included as an incremental cash flow. False. Debt is an operating decision and seperate from the value of the project. True. A firm generally knows how much debt they expect to issue so including interest payments gives a more accurate estimate of the project's value