Question: True or False Net present value method automatically takes into account recovery of the initial investment If the residual value of equipment at the end

True or False

  1. Net present value method automatically takes into account recovery of the initial investment
  2. If the residual value of equipment at the end of a project is difficult to estimate, the residual value should be ignored in capital budgeting decisions
  3. The hurdle rate is the discount rate that makes the npv of the project equal to zero
  4. The hurdle rate is the discount rate that makes the npv of the project equal to zero

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