Given the information in the Table below and 15 percent cost of capital, the cut-off period is 5 years compute the: 1. payback period 2. net present value. 3. Profitability Index 4. Economic value added 5. And determine if the project should be accepted or not?

Profitability Index Answer 1 Economic value added Answer 2 Net Present Value Answer 3 the project should be accepted or not Answer 4 payback period Answer 5

Operating Cash Inflows $10,000 $50,000 $10,000 $25,000 $10,000 $60,000 -$100,000 (Initial outlay)