Which of the following does NOT enhance board of director effectiveness? a) majority of outside directors b) unclassified board of directors c) an interlocking board d) board members which are not overly busy e) All aid in enhancing board effectiveness Which is of the following is false! al If the profitability indes is greater than one then we know that NPV must abo be greater than ero bi The profitability index measures bang for the back from a project Od the profitability index is helpful under capital rationing conditions The profitability index is the rate at which NPV is equal to zero el A profitability index of 1.2 suggests that the project provides $1.20 in benefit to the firm for each dollar invested. two projects are mutually exclusive then selecting one project precludes the acceptance of the other project TRUE FALSE TNT Demo & Excavation owns several large pieces of equipment. One of their bulldozer's was purchased for $75,000 about 5 years ago. It is 80% depreciated. If they sell the bulldozer for $25,000, the firm will al realize a gain on the sale Ob) The answer depends upon the firm's tax rate Od realize a loss on the sale di break-even on the sale e) The answer cannot be determined with the provided information Which of the following is NOT a potential problem with managerial behavior? al Rejecting positive, but risky NPV projects bi excessive nonpecuniary benefits el making excessive short-term investments and not returning capital to investors. d) Spending a lot of time reading the ESPN online sports page el All are potential problems