18. If IRR > k, a project

	a.	acceptable according to IRR criteria
	b.	A project should be rejected according to IRR criteria
	c.	A projects NPV > o if initial negative cash flow is followed by subsequent positive cash flows
	d.	Both a and c

23. According to NPV criteria, a project is acceptable if

	a.	PV - I > 0
	b.	PV - I < 0
	c.	Net cash flow in current dollar is positive
	d.	both a and c

11. The retained earning entry in a balance sheet is cumulative retained earning

True

False

2. One draw back for payback period is that

	a.	future cash flow is not counted
	b.	future cash flow beyond the payback period is not counted
	c.	the present value of future cash flow is ignored
	d.	both a and c

6. The lower is the discount rate

	a.	higher is the YTM
	b.	lower is the YTM
	c.	higher is a bonds value
	d.	both a and c

9. A stocks beta shows

	a.	Return percentage of a stock relative one percent change in the market
	b.	percentage price change of a stock relative to one percentage change I the market
	c.	change in stock price when market changes by one percent
	d.	both a and b