For 42. D is ) 3.43 years

0 - Test 5- Requires Respondus LockDown Browser me Left:1:15:48 Ralph King: Attempt 1 The company's required rate of return or weighted average cost of capital is 8%. After computing Payback Period, NPV, PI, and IRR, state whether you would accept or reject each project. Management's arbitrarily set payback period is 2.75 years. Project Bart details; Initial Outlay : $118,736; Cash Inflows = Year 1 $60,000 Year 2 $50,000 Year 3 $28,000. Compute PI for Project Bart. A) 1.001 B) 1.003 C) 1.016 D) 1.024 Question 42 (0.125 points) Easy Appliance Inc. is considering a new inventory system that will cost $100,000 (Initial Outlay). The system is expected to generate positive cash flows over the next four years in the amount of $25,000 in year one, $35,000 in year two, $45,000 in year three, and $30,000 in year four. Easy Appliances' required rate of return is 8%. What is the payback period of this project? A) 2.89 years B) 3.27 years C) 3.16 years