Author Question: Under what condition would you NOT accept a project that has a positive net present value? A) If ... (Read 23 times)

sarasara

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Under what condition would you NOT accept a project that has a positive net present value?
 
  A) If a project has more than one sign reversal.
  B) If the firm is limited in the capital it has available (capital rationing).
  C) If the project has a profitability index less than zero.
  D) If two or more projects are mutually inclusive.

Question 2

Exchange rate risk exists in international trade contracts denominated in a foreign currency, but not
  in foreign portfolio investments, because the returns on investment securities are adjusted
  automatically for differences in exchange rates.
 
  Indicate whether the statement is true or false


abro1885

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Answer to Question 1

B

Answer to Question 2

FALSE



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