B. MULTIPLE CHOICE QUESTIONS For each question, select the best answer and write the letter of the response you have chosen in the blank preceding the question. 8. The "Weighted Average Cost of Capital" (WACC) for a capital budgeting project can be calculated if the is (are) known A inflation rate B. real discount rate C. unemployment rate D. A and B and C E A and B 9. When the expected "Weighted Cost of Capital" (WACC) varies from year-to-year, then must be used to calculate the "Net Present Value (NPV) for a capital budgeting project. A the "time-line method" B. the NPV function in Excel C. the =PMT function in Excel D. B and C 10. When the "Weighted Average Cost of Capital" (WACC) varies from year-to-year, a(n) discount factor must then be calculated to discount the project's expected future cash flows back to t=0. A incremental B. cumulative C. negotiated D static 11. To calculate an annual mortgage payment, must be known. A the Present Value (PV) of the loan at t=0. B. the loan interest rate per year C. the number of years for the loan D the age of the property being purchased E A and B and C and D F A and B and C