9 9 TRUE 10 TRUE Sunk cost must be ignored in Engineering decision making because current FALSE decision cannot change the past For an investment with a nominal interest rate compounding yearly, the FALSE effective annual interest rate is the same as the nominal interest rate. When the interest rate is quoted without the mention of compounding or FALSE simple interest, one always assumes the rate is compounding annually Unless otherwise stated, cash flows are assumed to occur at time 0 or at the FALSE beginning of each period In deciding what alternative is best, what counts is the differences among the FALSE alternatives 11 TRUE 12 TRUE 13 TRUE