The management of Solar Corporation is considering the following three investment projects (Ignore income taxes.): Project LProject MProject NInvestment required$37,000 $55,000 $82,000 Present value of cash inflows 38,480 $62,150 $90,200 Rank the projects according to the profitability index, from most profitable to least profitable.
A. M, N, L
B. L, N, M
C. N, M, L
D. N, L, M
Answer: A
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Which of the following is consistent with the laws of thermodynamics' governing energy?
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Fill in the blank with correct word.
Fatigue, rest, or unavoidable delays are not factored into a work standard by the performance rating factor
Indicate whether the statement is true or false
In a world with no taxes, Modigliani and Miller (MM) show that a firm's capital structure does not affect its value. However, when taxes are considered, MM show a positive relationship between debt and value, i.e., the firm's value rises as it uses more and more debt, other things held constant.
Answer the following statement true (T) or false (F)