Question 15 1 pts What is the IRR of the following set of cash flows? Year Cash Flow 0 -$50,000 1 10.000 10,000 2 20,000 3 50,000 4 5.000 23.4% 13.4% 28.9% 17.4% 6.2 Question 16 1 pts What is the decision rule for NPV? None of these is the correct rule Accept a project when NPV Cost Accept a project when NPV Average Accounting Net Income Accept a project when NPV Profitability Index Question 1 1 pts The nominal, pre-tax cost of debt for a firm: is equal to the yield to maturity (YTM) on the outstanding bonds of the form is equal to the coupon rate of the outstanding bonds of the firm is equivalent to the current yield" on the outstanding bonds of the firm is unknown since it cannot be directly observed in the market is based on the YTM that existed when the currently outstanding bonds were originally issued Question 8 1 pts The cost of capital (or required return or discount rate) assigned to a firm's different divisions (and the projects in those divisions) should be equal to an average of the firm's overall cost of capital for the past five years based on the risk level of the divisions and projects) themselves based solely on the firm's weighted average cost of capital based solely on the current risk level of the overall form based on the actual sources of funding used for the specific project