If a capital budgeting project is purchased, a firm's value, and thus its stockholders' wealth, will increase by the amount of the project's _____.
A. net cash flow discounted at the growth rate of the firm
B. cash inflows discounted at the required rate of return
C. nondiscounted cash inflows
D. cash inflows discounted at the internal rate of return
E. net present value (NPV)
Answer: E
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