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Question 3 Ms. Jaylee could also choose between two business projects. Based on the following information, if the curren
Posted: Sat Mar 19, 2022 5:56 pm
by answerhappygod
- Question 3 Ms Jaylee Could Also Choose Between Two Business Projects Based On The Following Information If The Curren 1 (59.05 KiB) Viewed 35 times
Question 3 Ms. Jaylee could also choose between two business projects. Based on the following information, if the current market rates are around an annual 5%, which one would be the best option? Year 0 1 2 3 4 PROJECT A - 70000 52000 53000 45000 51000 42000 PROJECT B -55000 42800 42800 42800 42800 42800 5 (25%)
Question 4 Should Ms. Jaylee invest $60,000 in a project that will produce revenues of $29,000 per year during the following 6 years if she compares it with other investment alternatives that offer an annual 4%? What is the payback period of this project? What is its IRR? (25%)