Question: The following table presents information on a potential project currently being evaluated by XYZ. Which assertion about statement 1 and statement 2 is true? Expected
The following table presents information on a potential project currently being evaluated by XYZ. Which assertion about statement 1 and statement 2 is true? Expected cash flows (number of years from today) Cost of capital 0 1 2 -$75,000.00 $34,000.00 $16,000.00 $31,000.00 $6,000.00 10.69% 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 3.81 years Statement 1 is true and statement 2 is false Statement 1 is true and statement 2 is true Statement 1 is false and statement 2 is true Statement 1 is false and statement 2 is false 0000
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