1. Which of the below implies necessarily that a project is profitable?
The project has a payback period shorter than the firm's strategic planning horizon
The project has a profitability index less than 1
The project's IRR is greater than the firm's WACC
The project has an NPV equal to 0
2. A project's NPV is calculated by summing the future incremental cash flows of the project, and subtracting the amount of the required initial investment.
True
False
3. In a mature VC firm, all the activities in the investing cycle will be occurring at the same time.
True
False