40.In which of the following situations, the net present value may not be an appropriate method be used in a capital budgeting decision?

You are examining a project, in which some of the cash flows following the initial investment are expected to be negative.

You are examining a project that is financed through multiple sources of capital.

You are examining a project that requires a relatively high cost of capital.

You are comparing mutually exclusive projects with different longevity.

You are comparing mutually exclusive projects, whose initial investment amounts significantly differ from one another.