Which of the following is not considered a capital budgeting project? Purchase of a new packaging machine Purchase of land on which to build a new factory Purchase of a new delivery truck to replace an old truck Purchase of inventory to be sold in the future The basic concept involved in time value of money calculations is that revenue must be earned in order for net income to be generated. you get what you measure. O it is better to receive a dollar today than to receive a dollar in the future. incremental revenues must exceed incremental costs. Assuming a 6% rate of return, how does the present value of an amount to be received two years from today compare to the present value of the same amount to be received three years from today? The present value of the amount to be received in two years is greater than the present value of amount to be received three years from today. The present values of the two amounts are equal. The present value of the amount to be received in two years is lesser than the present value of amount to be received three years from today. It is impossible to tell unless the actual amount to be received is known. Which of the following is not one of the steps in the net present value method? Calculate the number of years required to recover the initial investment. Discount the cash flows. Identify the amount and timing of the cash flows. Compare the discounted net cash flows to zero