Question 5 the others from consideration. projects do not compete with each other; the acceptance of one Capital; eliminates Independent; does not eliminate Mutually exclusive; eliminates Replacement; eliminates Question 6 Generally, the order of cost, from the least expensive to the most expensive, for long-term capital of a corporation is new common stock, retained earnings, preferred stock, long-term debt common stock, preferred stock, long-term debt, short-term debt preferred stock, new common stocks, common stock, retained earnings long-term debt, preferred stock, retained earnings, new common stock Question 7 Cash outlays that had been previously made and have no effect on the cash flows relevant to a current decision are called incremental historical costs incremental past expenses opportunity costs foregone sunk costs Question 8 Which of the following is included in operating leverage? Taxes Cost of Goods Sold Interest Preferred Stock Dividends