Adair and Nofsinger discusses various criteria for calculating and analyzing the desirability of a capital budgeting project. Assume the role of chief financial executive of a firm that is analyzing a major project that entails a large initial cash outflow at time point zero and has future expected cash inflows occurring over the next 10-year period.

If you could select only three techniques to analyze this project's desirability, which three techniques would you select? Why?

When analyzing a project's desirability, which factor do you believe is more important: the technique to analyze investment acceptability, or the use of the most accurate projections of cash flows? Why?