27. (Terminology) Match the numbered item on the right with the lettered item on the left.

a. Annuity 1.. A measure of the time that will

b. Cost of capital elapse until an initial investment is

c. Financing decision recouped.

d. Investment decision 2.. A decision regarding what type of

e. Judgmental method capital will be used to fund an

f. Mutually exclusive projects investment.

g. Mutually inclusive projects 3.. A cash flow that is repeated in h. Net present value consecutive periods.

i. Payback period 4.. Present value of cash inflows less j. Present value present value of cash outflows.

5.. A method of evaluating risk.

6. A decision in which accepting one project requires acceptance of another.

7.. A future amount that has been discounted to the present.
8.. A decision in which the acceptance of one project implies the rejection of others.
9.. A decision about which assets a firm will acquire.
10.. The discount rate often used in investment analysis.