A project has an initial cost of $27,400 and a market value of $32,600

1.	A project has an initial cost of $27,400 and a market value of $32,600. What is the difference between these two values called?    A.  net present value B.  internal return C.  payback value D.  profitability index E.  discounted payback Refer to section 9.1

2.

Which one of the following methods of project analysis is defined as computing the value of a project based upon the present value of the project's anticipated cash flows?    A.  constant dividend growth model B.  discounted cash flow valuation C.  average accounting return D.  expected earnings model E.  internal rate of return Refer to section 9.1

3.	The length of time a firm must wait to recoup the money it has invested in a project is called the:    A.  internal return period. B.  payback period. C.  profitability period. D.  discounted cash period. E.  valuation period. Refer to section 9.2

4.

The length of time a firm must wait to recoup, in present value terms, the money it has in invested in a project is referred to as the:    A.  net present value period. B.  internal return period. C.  payback period. D.  discounted profitability period. E.  discounted payback period. Refer to section 9.3