QUESTION 16 An investor is analysing 3 investment options (Project A, B and C). The payback period of Project A is 32 years, while Project 28 years and Project C is 4.2 years. The investor has a maximum acceptable payback period of 3 years. Based on the following data which of the following statements is incorrect? O All three projects have acceptable payback periods O Project B is the superior option based on the payback period. O Project A is better than project C. O If the maximum acceptable payback period was increased to 5 years all projects would be acceptable QUESTION 17 The cash ratio is a O Profitability ratio- Market value ratio O Liquidity ratio- Financial leverage ratio O Liquidity ratio- Profitability ratio O Financial leverage ratio - Asset utilization ratio while the cash coverage ratio is a