Question: Chapter &: Qurtion 10 Consider the following two mutually exclusive projects: Whichever proped you choppa any you require a return of 11 percent on your

Chapter &: Qurtion 10 Consider the following two mutually exclusive projects: Whichever proped you choppa any you require a return of 11 percent on your investment a if you apply the payback criterion, which investment will you choose? Why? h. you apply the discounted pryback criterion, which investment will you choose! Why! If you apply the heV criterion, which imentmust will you choose ? Why? &.If you apply the IAM criterion, which imentmart will you hook ? Why } I you apply the profitability index criterion, which investment will you chook? Why? 1. Banned on your amiwen in parts (a] through jel which project will you finally choose? Why Project Project Present value Present value Cash flowipt 17 080 30,009 35 080 Rate of Fetum COMMENTS ON WHICH PRIORCT YOU WILL CHO Project Project Chcounted payback NPV PI
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