Question 10 4 pts a A project costs $125,000 and expected to generate $50,000 per year for the next 5 years. What is the Payback Period for this project? 2.50 years 2.23 years 09.12 years 5.75 years. Question 11 4 pts The Net Present Value Method is a more conservative technique for selecting investment projects than the Internal Rate of Return method because the NPV method assumes that cash flows are reinvested at the project's internal rate of return. O concentrates on the liquidity aspects of investment projects. O assumes that cash flows are reinvested at the firm's weighted average cost of capital. none of these Question 12 4 pts Which of the following statements about capital budgeting analysis is correct? The externalities associated with the project should be included in the capital budgeting analysis Only incremental cash flows, which are the cash flows that will change if the project is accepted, should be included in the capital budgeting analysis Sunk costs should be included in the capital budgeting analysis The term incremental cash flows refer to only marginal inflows, not the outflows O a and b Question 13 4 pts When evaluating incremental cash flows from the project, the shipping & installation costs associated with the purchase of an investment are included in the computation of: Initial investment outlay, and form part of the asset's depreciable basis Incremental operating cash flows since these represent expenses that require annual write-off terminal year cash flows since these expenses are paid at termination sunk costs since these have no effect on the operating cash flows