True False o O o Q 1. It is correct to say that the payback period (PP) method ignores the time value of money. 2. No project can have more than one internal rate of return (IRR). 3. A project's equivalent annual annuity (EAA) is expressed in dollars. o O 0 0 4. When the IRR serves as the discount rate, the net present value (NPV) = $0. 5. A project should be accepted if its profitability index (PI) >0. O Q O Q 6. The IRR does not assume that all interim cash flows are reinvested at the IRR. O Q 0 Q 7. To graph the IRR, NPVs are arrayed along the vertical axis. 8. If the payback period is 3 years and the cutoff period is 4 years, the project should be accepted. 9. When calculating a project's NPV, it is fair to assume that the cost is already a present value. 10. It is fair to rank projects from best to worst solely on their respective NPVs. O Q o