1. Elaborate on the strength and weakness of NPV method. Discuss the decision that have to be made contemplating the replacing an older, existing asset with a newer, more cost efficient one.
2. Which of the methods of analysis (Payback, Net Present Value, and Internal Rate of Return) do you think offers the LEAST information about a project's viability--- WHY?
3. Analyze at least one non-mortgage asset-backed debt security and discuss the advantages and disadvantages in investing in these assets. What value do they bring to a portfolio?