Question: QUESTION The following table presents information on a potential project currently being evaluated by XYZ. Which assertion about statement and statement 2 is true? Expected

 QUESTION The following table presents information on a potential project currently

QUESTION The following table presents information on a potential project currently being evaluated by XYZ. Which assertion about statement and statement 2 is true? Expected cash flows(number of years from today 0 1 2 3 4 Cost of capital -76.000 38.000 29.000 19.000 6.000 13.2% Statement 1: XYZ would accept the project based on the project's net present value and the NPV rule Statement 2: XYZ would accept the project based on the project's payback period and the payback rule if the payback threshold is 2.55 years a. Statement is true and statement 2 is true b. Statement is true and statement 2 is false Statement is false and statement 2 is true d. Statement 1 is false and statement 2 is false

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