Which of the following statements is (are) TRUE? Select one or more alternatives: If the cost of capital estimate is more than the IRR, the NPV will be positive. When sales of a new product displace sales of an existing product, the situation is often referred to as auxiliary sales. Managers sometimes continue to invest in a project that has a negative NPV because they have already invested a large amount in the project and feel that by not continuing it, the prior investment will be wasted. Sales will ultimately decline as a product nears obsolescence or faces increased competition. Which of the following statements is (are) TRUE? Select one or more alternatives: Using multiples will not help us determine if an entire industry is overvalued. Valuation multiples have the advantage that they allow us to incorporate specific information about the firm's cost of capital or future growth. The fact that a firm has an exceptional management team, has developed an efficient manufacturing process, or has just secured a patent on a new technology is ignored when we apply a valuation multiple. One advantage of the EBITDA multiple is that companies may have negative EBITDA multiples