TRUE FALSE 1. The airline industry is an example of the "monopolistic competition" type of market structure. TRUE FALSE 2. A project's internal rate of return will be equal to its actual rate of return if the estimated cash flows equal the actual cash flows of the project. TRUE FALSE 3. In a "sell or process further" decision, joint product costs are always considered sunk costs and are therefore irrelevant to the decision-making process. TRUE FALSE 4. Variable costing is required for external financial reporting. TRUE FALSE 5. Tactical decisions consist of choosing among alternatives and tend to be long run in nature. TRUE FALSE 6. If a capital investment has a net present value greater than zero, then the investment is profitable and therefore acceptable. TRUE FALSE 7. Preparing segmented income statements improves a company's ability to make decisions related to whether or not to accept special orders. TRUE FALSE 8. Price elasticity of demand is calculated by dividing the percentage change in quantity by the percentage change in price. TRUE FALSE 9. Since depreciation is allocated to future periods, it should be considered a relevant cost in a make-or-buy decision. TRUE FALSE 10. The accounting rate of return method of evaluating capital investment projects considers the time value of money