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In capital budgeting decisions, cash flows should always be considered on a(n) Blank______ basis.
zero-tax
before-tax
highest-tax
after-tax
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- What is internal Rate of Return - Before Tax Cash Flow - BTIRR? Please provide example.Which of the following must be factored into capital budgeting analysis? More than one answer may be correct. Multiple select question. interest expense a cost that has already been incurred and cannot be recovered favourable rates for capital cost allowance investment tax credits government grantsCan the net cash flows be viewed as before-tax values or aftertax values for which tax effects have been recalculated?
- Which of the following must be factored into capital budgeting analysis? More than one answer may be correct. Multiple select question. government grants interest expense favourable rates for capital cost allowance a cost that has already been incurred and cannot be recovered investment tax creditsWhat basic capital budgeting technique(s) you would use to accurately assess cash flow when taxes are considered. Support the rationale.How can we determine after-tax cash flows for an investmenta project with only operating and investment activities?
- In the context of capital budgeting, what is meant by the word “discounting”?In capital budgeting decisions, cash flows should always be considered when they Blank______. Multiple choice question. arise in an accounting sense actually occur are published in financial statementsThe IRR method and NPV method can differ in ranking of capital budgeting decisions. What causes this?
- Please provide as much detail as possible. It must be a detailed explanation for each. What are some of the tax-factor benefits of capital budgeting? a) annual depreciation... how and why is it a benefit? b) interest on loans...why? c) investment tax credits...why?Which cost flow assumption must be used for financial reporting if it is also used for tax reporting? Multiple Choice LIFO. FIFO. Weighted-average. Any assumption can be used regardless of the tax reporting.It can be said that the actual cost of an expenditure that is deductible for tax purposes is less than the cash outflow for the expenditure. Explain. Be specific regarding how the actual cost of a deductible expenditure should be determined.