1) A company is considering a 4-year project with the following cash flows: C0=-$20,000, C1=C2=C3=C4=$7,000 If the company’s opportunity cost of capital is 12% then

a) The project NPV = $1,261.45

b) The project IRR=14.962%

c) The project will have more than one IRR

d) The project’s PI=1.06307

e) The project should be rejected because its payback period is longer than two years.

f) The project should be rejected because its IRR>the hurdle rate

g) The project should only be accepted if mutually exclusive.

h) Both b) and d) are true

i) All a), c) and d) are true

j) All a), b) and d) are true