Question: a. Complete the table above (1 points) b. Calculate the payback period for each project. (1 point) c. Calculate the discounted payback period for each
a. Complete the table above (1 points)
b. Calculate the payback period for each project. (1 point)
c. Calculate the discounted payback period for each project. (1 point)
d. Calculate the net present value for each project. (1 point)
e. Calculate the profitability index (PI) for each project (1 point)
f. Calculate the internal rate of return (IRR) for each project. (1 point)
4) Consider two mutually exclusive projects X and Y with the following cash flows and a discount rate of 9 %. Project B Project A Cash Flow Cash Flow Discounted Cash Flow Discounted Cash Flow (25,000) (25,000) 0 (25,000) (25,000) 1 5,000 4,587 12,000 2 7,000 10,000 7,000 6,000 4 8,000 4,000 5 6,000 0.00 0.00
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
