Question: true & false questions please answer all True 2. CBP NORMALLY INVOLVES LARGE CAPITAL PROJECTS. 3. CBP MAINLY USES PAYBACK PERIOD EXCLUSIVELY TO MAKE DECISIONS.

true & false questions please answer all
true & false questions please answer all True 2. CBP NORMALLY INVOLVES

True 2. CBP NORMALLY INVOLVES LARGE CAPITAL PROJECTS. 3. CBP MAINLY USES PAYBACK PERIOD EXCLUSIVELY TO MAKE DECISIONS. 4. CBP IS APPROXIMATELY INVOLVED WITH A MINIMUM OF FIVE KEY STEPS IN THE PROCESS. 5. NPV IS THE LEAST IMPORTANT FINANCIAL CALCULATION IN CBP ANALYSIS 6. IF THE CDOPRORATE PAYBACK PERIOD IS 6 YEARS, SOME PROJECTS ARE STILL APPROVE AT 9 YEARS 7. LOWER LEVEL EMPLOYEES ARE GENERALLY NOT INVOLVE IN THE CBP PROCESS DECISION MAKING 8. THE MULTI- DEPARMENTAL TEAM IS MORE IMPORTANT IN FINAL APPROVAL OF THE CBP BECAUSE ADDITIONAL ISSUES ARE EVALUATED BEYOND JUST FINANCIAL CALCULATIONS 9. CBP INCLUDE FIXED ASSETS LIKE INVENTORY BUILDINGS, EQUIPMENT, LAND, AND MAJOR R&D FOR NEW PRODUCTS 10. TWO MAIOR WAYS TO RAISE CAPITAL FOR FIRMS ARE BONDS AND BANK LOANS 11. MORE SALES ARE A MAJOR SOURCE OF RAISING CAPITAL 12. NPV > O = PROJECT APPROVAL 13. NPV = O PROJECT APPROVAL 14. PROFITABILITY INDEX = NPV/INTIAL COST OF INVESTMENT X 1.00 15. RETURN OF MY MONEY IS NOT THE MOST IMPORTANT ISSUF WITH GAR INVESTING. 16. IRR = 12% IS BETTER THAN IRR = 12% x 1.6. 17. TAX BENEFITS ARE A HIGHER PRIORITY ACCORDING TO THE GAR INVESTMENTS STRATEGY. 18. A VERY SMALL COMPANY GENERALLY USES PAYBACK PERIOD ON APRIORITY BASIS. 19. RISK ANALYSIS IS VERY IMPORTANT WHEN EVALUATING CBP 20. REVIEW OF THE APPROVED CBP IS NORMALLY DONE FIVE YEARS AFTER THE CBP APPROVAL

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