Question: Consider the following two mutually exclusive projects: What is the payback period for Project A? What is the payback period for Project B? What is




Consider the following two mutually exclusive projects: Year AWNO Cash Flow (A) -$214,977 25,100 53,000 56,000 381,000 Cash Flow (B) --$15,383 5,565 8,086 13,450 8,161 Whichever project you choose, if any, you require a 6 percent return on your investment. a. What is the payback period for Project A? b. What is the payback period for Project B? c. What is the discounted payback period for Project A? d. What is the discounted payback period for Project B? e. What is the NPV for Project A? f. What is the NPV for Project B? g. What is the IRR for Project A? h. What is the IRR for Project B? i. What is the profitability index for Project A? j. What is the profitability index for Project B
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