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Question 7 The net present value technique is an approach that goes against the

ID: 2360958 • Letter: Q

Question

Question 7 The net present value technique is an approach that goes against the goal of shareholder wealth maximization. a.True b.False Question 8 Accepting a positive-NPV project increases shareholder wealth. a.True b.False Question 9 If the payback period for a project exceeds the firm's threshold period, then the project is accepted a.True b.False Question 10 Unlike the regular payback method, the discounted payback method does not ignore cash flows beyond the firm's threshold period. a.True b.False

Explanation / Answer

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