Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (8) -$261,708 -$14,865 1 27,200 4,5
Posted: Sun Jun 05, 2022 10:42 am
Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (8) -$261,708 -$14,865 1 27,200 4,507 55,000 8.464 3 53,000 13.578 400,000 8,162 Whichever project you choose, if any, you require 3 percent return on your investment. a. What is the payback period for Project A? b. What is the payback period for Project B? c. What is the discounted payback period for Project A? d. What is the discounted payback period for Project B? e. What is the NPV for Project A? f. What is the NPV for Project B? g. What is the IRR for Project A? h. What is the IRR for Project B? L What is the profitability index for Project A?