Answer from question 4 to 6b

Need answers from question 4 to 6b. thanks

Lou Barlow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for a fiveyear period. His annual pay raises are determined by his division's return on investment (ROl), which has exceeded 17% each of the last three years. He has computed the cost and revenue estimates for each product as follows: The compsny's discount rate is 15%. Click here to view Exhibit 128-1 and Exhibit:128-2, to determine the appropriate discount factor using tables. Required: 4. Calculate the profitability index for each procuct: 5. Colculate the simple rate of return for each product. 6.. For each measure, identify whether Product A or Product B is preferred. 66b, Based on the simple rate of return, which of the two products should Lou's division accept? Lou Bariow, a divisional manager for Sage Company, has an opportunity to manufacture and sell one of two new products for a fiveyear period. His annual pay raises are determined by his division's return on investment (ROI), which has exceeded 17% each of the last three years. He has computed the cost and revenue estimates for each product as follows: The company's discount rate is 15%. Click here to view Exhibit 128-1 and Exhlibit 128-2, to determine the appropriate discount factor using tables. Required: 1. Calculate the payback period for each product. 2. Calculate the net present value for each product. 3. Calculate the internal rate of return for each product. 4. Calculate the profitability index for each product. 5. Calculate the simple rate of return for each product. 6a. For each measure, identify whether Product A or Product B is preferred. 6b. Based on the simple rate of return, which of the two products should Lou's division accept