A recent MSU grad has decided to open a hot pretzel stand in Times Square in New York. She has bought a cart for $20,000 that has an estimated useful life of 4 years. She wants to make sure she gets the money back she spent on the cart plus an additional $40,000 by the time the cart becomes useless. She does not want to have to compute a required rate of return. Which is the most appropriate project evaluation method for her to use given the above information? Multiple Choice Net Present Value Payback Period Internal Rate of Return Flip A Coin A company is evaluating a capital budgeting project, and has come up with 5 scenarios. The CFO of the company really likes the project, and even though the base case NPV is negative, he has instructed the finance department to do a scenario analysis with 4 more scenarios. The NPV of all 5 turns out to be negative. What is the proper action for the CFO to take? Multiple Choice Have the finance department keep creating scenarios until they find one that is NPV positive, Accept the project anyway Stop the analysis and reject the project. True or False?: Tax benefits generated by the sale of an asset must be excluded from DCF analysis since they do not result in actual cash coming into the company. Multiple Choice O True o False