Question: Answer both questions and show work. 1. A project has the following cash flows. What is the payback period, NPV, PI, IRR, MIRR, and EAA?

Answer both questions and show work.

1. A project has the following cash flows. What is the payback period, NPV, PI, IRR, MIRR, and EAA? Assume an interest rate of 5%.

Year CF ($)

0 -5,000

1 2,700

2 3,300

3 1,400

4 330

5 340

2.

What is NPV, IRR, PI, MIRR of a project with the following cash flows if the discount rate is 14 percent?

Year

CF

0

-18,000

1

5000

2

7500

3

8400

4

2100

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