Question: Corporation is evaluating the following mutually exclusive projects. Which project(s) should Corporation accept and why? Corporations maximum acceptable payback period is 7 years. Explain fully.

Corporation is evaluating the following mutually exclusive projects. Which project(s) should Corporation accept and why? Corporations maximum acceptable payback period is 7 years. Explain fully.

Project NPV IRR Traditional Payback
Project A $394 11.33% 14.2 years
Project B $228 12.33% 6.05 years
Project C $0 10% 0.91 years
Project D $165 15.26% 1.89 years

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