Rieger International is evaluating the feasibility of investing ​$94,000 in a piece of equipment that has a 5-year life

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answerhappygod
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 Rieger International is evaluating the feasibility of investing ​$94,000 in a piece of equipment that has a 5-year life

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 Rieger International is evaluating the feasibility of investing ​$94,000 in a piece of equipment that has a 5-year life. The firm has estimated the cash inflows associated with the proposal as shown in the following​ table: LOADING..The firm has a cost of capital of 12​%.
​$94,000
5-year
LOADING..The firm has a cost of capital of
LOADING..The firm has a cost of capital of
12​%.
a.  Calculate the payback period for the proposed investment.
b.  Calculate the discounted payback period for the proposed investment.
c.  Calculate the net present value​ (NPV) for the proposed investment.
d.  Calculate the probability index for the proposed investment.
e.  Calculate the internal rate of return​ (IRR) for the proposed investment.
f.  Calculate the modified internal rate of return​ (MIRR) for the proposed investment.
g.  Evaluate the acceptability of the proposed investment using​ NPV, IRR, and MIRR.
Year ​(t​)Cash inflows ​(CFt​)1​$30,0002​$20,0003​$35,0004​$20,0005​$40,000
Year ​(t​)
​(t​)
Cash inflows ​(CFt​)
​(CFt​)
1
​$30,000
​$30,000
2
​$20,000
​$20,000
3
​$35,000
​$35,000
4
​$20,000
​$20,000
5
​$40,000
​$40,000
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