1. You are considering two projects with the following cash flows: Project X Project Y Year 1 $8,500 $7,000 Year 2 8,000 7,500 Year 3 7,500 8,000 Year 4 7,000 8,500 Which one of the following statements is true concerning these two projects given a positive discount rate? A. Both projects have the same future value at the end of Year 4. B. Both projects have the same value at Time 0. C. Both projects are ordinary annuities. D. Project X has both a higher present and a higher future value than Project Y. E. Project Y has a higher present value than Project X. 2. A project has an initial cost of $27,400 and a market value of $32,600. What is the ratio resulting in dividing the market value and initial cost called? A. Net present value. B. Internal return. C. Payback value. D. Profitability index. E. Discounted payback. 3. Maximizing the value of the share or the value of the company as a whole should be the goal of: A. The investment team. B. The Finance Manager. C. The company's treasurer. D. All of the company's employees. E. The company's controller. 4. Activities of a firm that require the spending of cash are known as: A. Sources of cash. B. Uses of cash. C. Cash collections. D. Cash receipts. E. Cash on hand.