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For each of the following question mark either T for True or F for False in the left margin 1. The NPV decision model indicates a internal rate of return for decision purposes. 2. The IRR capital budgeting model develops a required rate of return. 3.The accrual accounting rate of return model for capital budgeting includes in its computation investment. 4.--When two similar projects are compared, the one with the lower payback the initial investment and Net income on period would tend to have the higher IRR. 5.--A 15% discount rate was used to compute the net present value of a project. If the NPV than 15%. 6. The time value of money is part of the internal rate of return model for is positive, the internal rate of return is lower capital budeting. 7.--When the NPV of a project is negative, the IRR would be lower than the discount rate used to compute the NPV. 8. The net cash effect of $30,000 depreciation expense per year, assuming a 40% income tax per year. 9 When income taxes are considered, the effects of depreciation expense rate, is an $18,000 cash inflow have a negative present value. 10. The after tax effect of depreciation expense on net cash inflows for a year is the depreciation expense for the year multiplied by the applicable rate of income tax for the year

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