1. The capital budgeting decisions for a project requires analysis of all the following except

A- It’s Future Cash Flows

B- The Degree of uncertainty associated with their future cash flows

C-The value of its future estimates of its capital appreciation and functional needs

D- The value of its future cash flows with their uncertainty

2. The project’s incremental cash flows comprise of changes in operating cash flows, which one:

A- Changes in revenues and long-term debts

B- Change in revenues and expenses

C- Change in revenue and tax consideration

D- Changes in operating cash flows and changes in investment cash flows

3. The project’s A and B with the same risk level but different cash flow . Which of the two projects will be accepted.

A) Project A with higher IRR than B

B) Project B with shorter Payback period than A

C) Project B with higher NPV than A

D) Project A with longer Payback period but more cash flows than B