Question: Firm ABC is evaluating two mutually exclusive projects with the following cashflows: Year 0 1 Project 1 - 47,755 15,736 10,500 24,356 19,804 2 Project

Firm ABC is evaluating two mutually exclusive projects with the following

Firm ABC is evaluating two mutually exclusive projects with the following cashflows: Year 0 1 Project 1 - 47,755 15,736 10,500 24,356 19,804 2 Project 2 - 47,623 4,264 12,882 11,722 13,940 56,717 3 4 5 If the discount rate is 8%, calculate the NPV, Payback Period, and Profitability Ratio of each project. Answer: Project 1 Project 2 NPV (round to nearest cents) Payback (round to two decimals) Profitability Ratio (round to two decimals)

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