To find the _________________ we begin by setting the NPV of a project equal to zero. Group of answer choices Average Accounting Return (AAR). Payback period. Net Present Value (NPV). Internal Rate of Return (IRR). Profitability Index. Flag question: Question 23 Question 23 2 pts Statement 1: The Profitability Index approach may lead to incorrect decisions in comparisons of mutually exclusive projects. Statement 2: Because the actual Net Present Value is unknown, firms typically use multiple criteria to evaluate a proposal. Group of answer choices Both statements are false. Statement 1 is false and Statement 2 is true. Statement 1 is true and Statement 2 is false. Both statements are true. Flag question: Question 24 Question 24 2 pts The Inn has an asset that costs $1,000,000 and is depreciated straight-line to zero over its five-year useful life. The asset is to be used in a three-year project; at the end of the project, the asset can be sold for $500,000. If the relevant tax rate is 25 percent, what is the after-tax cash flow from the sale of this asset? Group of answer choices $425,000. $475,000. $500,000. $575,000. Flag question: Question 25 Question 25 2 pts There are two central lessons that emerge from a study of market history. First: there is a reward for bearing risk. Second: The greater the potential reward is; the greater is the risk. The excess return required from an investment in Small stocks over that from an investment in U.S. Treasury bills is called the _______. Group of answer choices Average return. Excess return. Return premiu