Repay the debt by the company to the banks, would affect on the cash flow by -------

1. Increase the cash flow
2. Decrease the cash flow
3. Doesnt make difference
4. None of the above

2. The effect of existing depreciation expenses in the income statement and cash flow is ------

1. It increase the cash available over the profit
2. It decrease the tax expenses
3. None of the above
4. All of the above

2. In evaluating a investment project related to a company, we have to put into consideration -------

1. All the information about the competitors
2. The Legal position of the company
3. Information about the cash related to that project
4. All of the above

3. If we have two projects with positive net present value, we shall ---------

1. Accept the two projects if we have capital rational
2. Accept one project if we have unlimited fund
3. Accept one if they are independent
4. Accept one if they are mutual exclusive

4. The project will have higher NPV Net present value if the WACC is

1. 20%
2. 30%
3. 40%
4. 45%