37-Which of the following statements concerning the NPV is not true?

The NPV technique takes into account the time value of money

The NPV of a project is the sum of all the discounted cash flows associated with a project

If two competing projects are being considered, the one expected to yield the lowest NPV should be selected

The NPV technique takes into account all the cash flows associated with a project

38-Dawood Corporation LLC had two projects that require an initial outlay of RO 350000 each.

The Board of Directors decided to accept only one project, as the company had insufficient funds to invest in both projects. What type of projects are these?

Mutually-Exclusive project:

Independent Projects

Expansion decision

Environmental projects

40-An International company called Larsen & Toubro (L&T) on 26.3.2019 announced that it had won a contract for a coke calciner project at Sohar Industrial Estate in Oman. They did not bid for many projects in 2019 in the GCC region due to capital rationing.

The reason for hard capital budgeting will not include the following

Poor track record

Desire for limited investment options

Industry-wide factors

Poor management team