Question: 8. The cash flows for Project C is shown below with the appropriate cost of capital at 15.5 percent and the maximum allowable payback is

8. The cash flows for Project C is shown below with the appropriate cost of capital at 15.5 percent and the maximum allowable payback is three years.

Project C

TIME 0 1 2 3 4 5

Cash Flow $ 910 $ 390 $ 490 $ 660 $ 280 $ 200

Compute the discounted payback period for Project C. Should the project be accepted or rejected?

9. The cash flows for Project E is shown below with the appropriate cost of capital at 8.5 percent.

Project E

TIME 0 1 2 3 4 5

Cash Flow $ 1,100 $ 370 $ 450 $ 530 $ 340 $ 140

Compute the IRR for Project E. (Round your answer to 2 decimal places. Omit the "%" sign in your response.) Using the IRR method, should the project be accepted or rejected?

10. Cash flows for Project I is given below and the appropriate cost of capital is 9.5 percent.

Project I

TIME 0 1 2 3 4

Cash Flow $ 12,300 $ 3,100 $ 4,500 $ 1,640 $ 2,850

Calculate the MIRR for Project I. (Round your answer to 2 decimal places. Omit the "%" sign in your response.) Using the MIRR method, should the project be accepted or rejected?

11. The cash flows for Project Z are shown below with the appropriate cost of capital at 11.5 percent.

Project Z

TIME 0 1 2 3 4 5

Cash Flow $ 930 $ 390 $ 500 $ 690 $ 150 $ 120

Compute the Profitability index for Project Z. (Round your answer to 2 decimal places. Omit the "%" sign in your response.) Using the profitability index, should the project be accepted or rejected?

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