Question: Consider the following two mutually exclusive projects: YearCash Flow ( A ) Cash Flow ( B ) 0 $ 3 7 5 , 0 0

Consider the following two mutually exclusive projects: YearCash Flow (A)Cash Flow (B)0$375,000$65,000160,00034,000270,00027,000370,00024,5004445,00019,600 Whichever project you choose, if any, you require a 15% return on your investment. a-1. What is the payback period for each project? (Round the final answers to 2 decimal places.)Payback PeriodProject A yearsProject B years a-2. If you apply the payback criterion, which investment will you choose? multiple choice 1 Project A Project B b-1. What is the discountedpayback period for each project? (Do not round intermediate calculations. Round the final answers to 2 decimal places.)Discounted Payback PeriodProject A yearsProject B years b-2. If you apply the discounted payback criterion, which investment will you choose? multiple choice 2 Project A Project B c-1. What is the NPV for each project? (Do not round intermediate calculations. Round the final answers to 2 decimal places. Omit $ sign in your response.)NPVProject A$ Project B$ c-2. If you apply the NPV criterion, which investment will you choose? multiple choice 3 Project A Project B d-1. What is the IRR for each project? (Round the final answers to 2 decimal places.)IRRProject A %Project B % d-2. If you apply the IRR criterion, which investment will you choose? multiple choice 4 Project A Project B e-1. What is the profitability index for each project? (Do not round intermediate calculation. Round the final answers to 3 decimal places.)Profitability IndexProject AProject B e-2. If you apply the profitability index criterion, which investment will you choose? multiple choice 5 Project A Project B f. Based on your answers in (a) through (e), which project will you finally choose? multiple choice 6 Project A Project B

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