Question: Exercise two [ 1 7 Marks ] 1 . Assume a project costs ( $ 1 , 2 0 0 , 0 0
Exercise two Marks Assume a project costs $ to implement and has annual net cash inflows of $ for a period of eight years, a required rate of return of percent, and an inflation rate of percent. Calculate its net present value NPV Assume a project costs $ to implement and has annual net cash inflows of $ for a period of eight years, a required rate of return of percent, and an inflation rate of percent. Calculate its net present value NPV Use the following data to answer the next five problems. a Calculate the weighted score for Project A B C and D Project Boulder has a payback period of years, an NPV of $ and a profitability index of Project Flintstone has a payback period of years, an NPV of $ and a profitability index of If only one project can be executed, which project should be selected? Explain your reasoning. Suppose that you have been assigned as the project manager to execute a project that was selected using the sacred cow project selection method. The project sponsor is an executive who has been with the company for three years. Based on past employment history, the average tenure of a senior executive at your company is years. After reviewing the project's expectations and requirements, the project team has determined that the payback period will be years. What are the implications for you and the project team?
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