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6. When hard capital rationing exists, projects may be accurately A. the payback period B. mutually exclusive IRRs. ga profitability Index 6. What is the

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6. When hard capital rationing exists, projects may be accurately A. the payback period B. mutually exclusive IRRs. ga profitability Index 6. What is the minimum number of years in which an investment costing $210,000 must return $65.000 per year at a discount rate of 13% in order to be an acceptable investment? A. 8.69 years B. 5.37 years C. 7.51 years D. 4.46 years 7. a project costs $100,000 and returns $50.000 per year for 4 years, what is its IRRY A. 38.98% B. 37.39% C. 34.90% D. 36.67% 8. If the IRR for a project is 10%, then the project's NPV would be: A. negative at a discount rate of 10%. B. positive at a discount rate of 8%. C. positive at a discount rate of 20%. D. positive at a discount rate of 15%. The decision rule for net present value is to: A. accept all projects with cash inflows exceeding the initial cost. B. reject all projects with rates of return exceeding the opportunity cost of capital. C accept all projects with positive net present values. D. reject all projects lasting longer than 10 years. 6. When hard capital rationing exists, projects may be accurately A. the payback period B. mutually exclusive IRRs. ga profitability Index 6. What is the minimum number of years in which an investment costing $210,000 must return $65.000 per year at a discount rate of 13% in order to be an acceptable investment? A. 8.69 years B. 5.37 years C. 7.51 years D. 4.46 years 7. a project costs $100,000 and returns $50.000 per year for 4 years, what is its IRRY A. 38.98% B. 37.39% C. 34.90% D. 36.67% 8. If the IRR for a project is 10%, then the project's NPV would be: A. negative at a discount rate of 10%. B. positive at a discount rate of 8%. C. positive at a discount rate of 20%. D. positive at a discount rate of 15%. The decision rule for net present value is to: A. accept all projects with cash inflows exceeding the initial cost. B. reject all projects with rates of return exceeding the opportunity cost of capital. C accept all projects with positive net present values. D. reject all projects lasting longer than 10 years

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