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61. While developing the net present value (NPV) profiles for two investment projects, the analyst notes the only difference between the two projects is that Project Alpha is expected to receive larger cash flows early in the life of the project, while Project Beta is expected to receive larger cash flows late in the life of the project. The sensitivities of the projects’ NPVs to changes in the discount rate is best described as:
equal for the two projects.
lower for Project Alpha than for Project Beta.
greater for Project Alpha than for Project Beta.
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62. In the case where an organisation acquires its supplier, this is an example of
Horizontal integration
Forwards vertical integration
Backwards vertical integration
None of the above
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