5.

To accept a project, the NPV must be ______________.

1. Lower than zero.
2. Greater than zero

6

Based on the IRR, to reject a project, the IRR must be __________ the WACC.

1. Greater than
2. Less than

7

Based on the information in the case, the NPV of your lemonade stand is approximately $_______.

1. $6,500
2. $8,500
3. $4,000
4. $10,000