1) The ranking approach prioritizes investment opportunities to help managers select the combination of projects that adds the most value for the firm.

Select one:

True

False

2) Where the responsibility rests for deciding whether to undertake a new investment often depends on the cost of the investment.

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True

False

3) When a company has to decide between two assets, one that is less expensive and has a shorter life, and the other that is more expensive but lasts longer, it is usually a better decision to invest in the more expensive asset that has a longer useful life.

Select one:

True

False