Question: Amphibian Inc is considering three mutually exclusive projects, Projects A, B, and C. The initial investment for Project A is $12,000 and is expected to

Amphibian Inc is considering three mutually exclusive projects, Projects A, B, and C. The initial investment for Project A is $12,000 and is expected to generate after-tax cash flows of $6,000 per year for five years. Project B requires an initial investment of $18,000 and is expected to generate after-tax cash flows of $10,000 per years for three years. Project C requires an initial investment of $25,000 and is expected to generate $11,000 per year for four years. All projects can be replicated. The required rate of return for A, B, and C are 11.75%, 9.875%, and 13.625%, respectively. i. Estimate the NPV of each project ii. Estimate the jayback period for each project. (6 marks) (3 marks) ill. Which project should the company undertake and why? (6 marks)

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