The following cash flows result from a potential engineering project for GoldBrick Engineering: 1. Receiving $250,000...

  

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The following cash flows result from a potential engineering project for GoldBrick Engineering: 1. Receiving $250,000 at the start of the project and $600,000 at the end of the fourth year 2. Expending $200,000 at the end of the first year and $450,000 at the end of the second year 3. A net cash flow of $0 at the end of the third year a) Draw a cash flow diagram for this project. (5 Marks) (12 Marks) c) When comparing multiple projects, is it always the case for the alternative with the highest rate of return to be the economically best alternative? b) Using an appropriate rate of return method, for a MARR of 25%, should Gold Brick Engineering accept this project? (4 Marks) d) Do both comparison methods worth-based and rate of return always yield the same results? (4 Marks) The following cash flows result from a potential engineering project for GoldBrick Engineering: 1. Receiving $250,000 at the start of the project and $600,000 at the end of the fourth year 2. Expending $200,000 at the end of the first year and $450,000 at the end of the second year 3. A net cash flow of $0 at the end of the third year a) Draw a cash flow diagram for this project. (5 Marks) (12 Marks) c) When comparing multiple projects, is it always the case for the alternative with the highest rate of return to be the economically best alternative? b) Using an appropriate rate of return method, for a MARR of 25%, should Gold Brick Engineering accept this project? (4 Marks) d) Do both comparison methods worth-based and rate of return always yield the same results? (4 Marks)