1.

Which of the following statements is most correct?

A. investment in working capital must be depreciated over the project life according to a straight-line method.
B. if a project incurs an operating loss (a negative taxable income) during a typical tax year, the firm pays no income taxes during that year.
C. whenever a project requires an investment in working capital, the profitability of the project will be affected negatively.
D. all of the above
Answer» D. all of the above


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