ALL THAT APPLY 1. The net present value: A. Decreases as the required rate of return increases. B. Is equal to the initial investment when the internal rate of return is equal to the required return. C. Method of analysis cannot be applied to mutually exclusive projects. D. Is directly related to the discount rate. E. Is unaffected by the timing of an investment's cash flows.

2. Lady of Tarth, opening her own business a school of sword fighting, - has been very traditional. She hired a financier, a chief swordsman in charge of the coaching team, a commercial director and an HR manager. What advantages did she hope to get from a firm with such a structure compared to a simple linear one? A. Quick response to direct instructions B. Easy coordination C. Use of experienced professionals D. Simple interrelationships E. Savings, because universal specialists are more expensive 3. An interesting story happened on a Strategy Committee meeting of a large industrial holding company. The Committee members discussed the opportunity to acquire one of the companys suppliers, producing critically important components. At some point in time a top-manager suggested to acquire not one but two main suppliers, in order to have a greater control of the market. And the meeting ended up with the decision about the purchase of majority interest in all suppliers in this market. What is the name of such a phenomenon? A. Group think. B. Group polarization. C. Group cohesiveness. D. Group conformity. E. Neither of the statements is true. 4. What information do companies use to organize interaction with consumers in the digital economy? A. Digital traces of consumers in social networks. B. Consumer reviews of the company and its products. C. Data on the consumption of competing products. D. Advertising campaigns. E. Search engine data.

5.The basic trade-off in the investment process is:

A. between the desired level of investment and possessing resources necessary to carry it out; B. between high returns available on single instrument and the diversification of instruments into a portfolio; C. between understanding the nature of particular investment and having the opportunity to purchase it; D. between the anticipated rate of return for a given investment instrument and its degree of risk; E. none of the above.