The basic idea behind residual income is to have a division maximize its; A. Net income. B. Income in excess of a corporate imputed interest charge. C. Cost of capital D. Cash flows. E. Invested capital All other things being equal, which of the following would be the most attractive to an investor? A. A cash inflow of $10,000 in five years, B. A cash inflow of $2,000 each year for the next five years. C. A cash inflow of $5,000 in year 1, and $5,000 in year 5. D. A cash inflow of $10,000 today. E. All of the above would be equally attractive. A series of equal cash flows is called a(n): A. Ongoing cash flow. B. Payback. C. Accrual D. Cash accumulation E. Annuity. The true economic yield prodded by an asset is summarized by the asset's: A. Non-discounted cash flows. B. Net present value. C. Future value. D. Annuity discount factor. E. Internal rate of return. A company that is using the internal rate of return (IRR) to evaluate projects, should accept the project if the IRR: A. Is greater than the project's net present value. B. is less than the project's net present value. C. Is greater than the cost of capital. D. Is less than the cost of capital. E. Cannot determine from the information given