Answer:
C. increase the initial project cost by dividing that cost by (1 − .083)
Explanation:
Flotation cost is defined as the overall or total amount of money (cost) that an organization incurs while offering its securities to the public. They are cost incurred when a company issues it's new stock. If the flotation cost equals 8.3% of funding needed, the initial project cost should be increased by dividing that cost by (1 - 0.083).