here it is.. 1. stand alone project with +ve NPV should be accepted and Projects can be mutually exclusive even if they address totally different business issue. So, the answer is C. 2.A firm's cost of capital is: the average return it pays it investors for the use of their money. So B 3.All other things being equal, what is the major impact that an increase in the expected inflation rate would be expected to have on the security market line will SHIFT UP. so C.