Which of the following statements about project cash flows i

Which of the following statements about project cash flows is false?

A. Both B and C are false statements.

B. A project is a series of cash flows.

C. Although most projects involve both financial and non-financial costs and benefits, the non-financial items are typically minor and can be ignored when estimating a project?s value.

D. In order to accurately evaluate a project?s effect on value, it is necessary to quantify any non-financial costs and benefits.

Solution

Option (A) is false.

Both B adn C are true statements.

Project is a series of cashflows and while determining project\'s value, it is advisable to neglect the non financial costs and benefits.