10 roblem 8-29 Payback and NPV (LO 1, LO4) ere are the expected cash flows for...

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10 roblem 8-29 Payback and NPV (LO 1, LO4) ere are the expected cash flows for three projects: points Cash Flows (dollars) Project Year 0 Year 1 Year 2 Year 3 Year 4 A -5,600 +1,150 +1,150 +3,300 0 eBook -1,600 0 +1,600 +2,300 +3,300 C -5,600 +1,150 +1,150 +3,300 +5,300 Print References What is the payback period on each of the projects? If you use the payback rule with a cutoff period of 2 years, which projects will you accept? If you use a cutoff period of 3 years, which projects will you accept? 1. If the opportunity cost of capital is 9%, calculate the NPV for projects A, B, and C. ote: Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your nswers to 2 decimal places. 2. Which projects have positive NPVs? "Payback gives too much weight to cash flows that occur after the cutoff date." True or false? 1. Payback period >. If you use the payback rule with a cutoff period of 2 years, which projects will you accept? :. If you use a cutoff period of 3 years, which projects will you accept? 1-1. If the opportunity cost of capital is 9%, calculate the NPV for projects A, B, and C. 1-2. Which projects have positive NPVs? . "Payback gives too much weight to cash flows that occur after the cutoff date." True or false? Check my work Project A Project B P Years Years 10 roblem 8-29 Payback and NPV (LO 1, LO4) ere are the expected cash flows for three projects: points Cash Flows (dollars) Project Year 0 Year 1 Year 2 Year 3 Year 4 A -5,600 +1,150 +1,150 +3,300 0 eBook -1,600 0 +1,600 +2,300 +3,300 C -5,600 +1,150 +1,150 +3,300 +5,300 Print References What is the payback period on each of the projects? If you use the payback rule with a cutoff period of 2 years, which projects will you accept? If you use a cutoff period of 3 years, which projects will you accept? 1. If the opportunity cost of capital is 9%, calculate the NPV for projects A, B, and C. ote: Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your nswers to 2 decimal places. 2. Which projects have positive NPVs? "Payback gives too much weight to cash flows that occur after the cutoff date." True or false? 1. Payback period >. If you use the payback rule with a cutoff period of 2 years, which projects will you accept? :. If you use a cutoff period of 3 years, which projects will you accept? 1-1. If the opportunity cost of capital is 9%, calculate the NPV for projects A, B, and C. 1-2. Which projects have positive NPVs? . "Payback gives too much weight to cash flows that occur after the cutoff date." True or false? Check my work Project A Project B P Years Years