1. The ability of a project to pay for itself from the cash flows that it generates is known as project liquidity.

True or False?

1A. The interest rate set on a loan is primarily dependent on two factors:

a. finance and leverage

b. inflation and risk

c.bonds and stocks

d. cost and quality

1B. Capital comes in two basic forms:

a. price and quantity

b. checks and cash

c. debt and equity

d. for profit and not for profit