Question: Delphi Inc is currently evaluating two (2) independent projects. The following represents the expected cash flows for both projects. The company's discount rate is 12%.

 Delphi Inc is currently evaluating two (2) independent projects. The following

Delphi Inc is currently evaluating two (2) independent projects. The following represents the expected cash flows for both projects. The company's discount rate is 12%. Required: (a) Using the following, indicate which project(s) should be chosen under each selection criteria: i. Payback (3 Marks) ii. Discounted Payback (6 Marks) iii. Profitability Index (2 Marks) (b) Compute the IRR for Project A only, given that it falls between 16% and 18%. The relevant PV factors are provided below: (6 Marks) (c) Companies may utilize any one of five criteria to evaluate projects. Identify the criteria that is considered the most favourable, outlining any three (3) advantages of this criteria

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