9. Which of the following calculations ignores the impact of the time value of money? I Payback III. Profitability index a. Ionly b. II only c. III onl d. I and III only 10. Project selection ambiguity can arise if one relies on IRR instead of NPV when: The first cash flow is negative and the remaining cash flows are positive A project has more than one NPV The profitability index is greater than one Project cash flows are not conventional. a. b. c. d. 11. A project whose NPV equals zero does not make profits for its shareholder has IRR less than its required rate of return has a profitability index that is greater than one has a discounted payback period that exactly matches the life of the project a. b. c. d. 12. Which of the following statements is true? a. If a project has a profitability index less than one the project should be accepted. b. If the cost of capital is greater than the IRR, the project should be accepted. c. If a project has a payback which is longer than the company requires, the project should be accepted. If the NPV of a project is positive, it should be accepted. d