1. Determine the Net Present Value, Internal Rate of Return, Profitability Index, and Payback for the...

 

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1. Determine the Net Present Value, Internal Rate of Return, Profitability Index, and Payback for the following 2 mutually exclusive projects. The cost of capital is 15%. For each method, circle the project you would choose. Year Cash Flow (Project A) 0 -300,000 1 20,000 2 50,000 3 50,000 4 390,000 Project Method Net Present Value Internal Rate of Return Payback Profitability Index Cash Flow (Project B) -40,000 19,000 12,000 18,000 10,500 1. Determine the Net Present Value, Internal Rate of Return, Profitability Index, and Payback for the following 2 mutually exclusive projects. The cost of capital is 15%. For each method, circle the project you would choose. Year Cash Flow (Project A) 0 -300,000 1 20,000 2 50,000 3 50,000 4 390,000 Project Method Net Present Value Internal Rate of Return Payback Profitability Index Cash Flow (Project B) -40,000 19,000 12,000 18,000 10,500

Answer rating: 100% (QA)

Project Evaluation 1 Net Present Value NPV Project A Year Cash Flow Discount Factor 11015t Present V... View the full answer