estion 4 tyet wered The net present value (NPV) method is a better method of evaluation than the internal rate of return (IRR) method because NPV ints out of 1 Select one: Flag question O A assumes cash flows are reinvested at the project's internal rate of retum. B. concentrates on the liquidity associated with the investment. O C. assumes cash flows are reinvested at the firm's cost of capital. O D. is a more liberal method of analyzing investment proposals. estion 5 yet wered Best Ball Inc. has the following investment opportunities: 1. Machine A requires an initial investment of $10,000 and is projected to realize cash inflows of $4,000 in year 1, $6,000 in year 2, and $3,000 in year 3. II. Machine B requires an initial investment of $16,000 and is projected to realize cash inflows of $9,000 in year 1, $6,000 in year 2, and $8,000 in year 3. Best Ball Inc, uses a hurdle rate of 15%. What is the profitability index of an investment in Machine B? ats out of 1 Flag question Select one: O A. 0.93 OB. 1.10 O C. 1.34 OD. 1.53