Here are the expected cash flows for three projects:

Project Cash Flows $($dollars$)$

Year $0$ Year $1$ Year $2$ Year $3$ Year $4$

A $5,100+1,025+1,025+3,0500$

B $1,1000+1,100+2,050+3,050$

C $5,100+1,025+1,025+3,050+5,050$

a$.$ What is the payback period on each of the projects?

b$.$ If you use the payback rule with a cutoff period of $2$ years, which projects will you accept?

c$.$ If you use a cutoff period of $3$ years, which projects will you accept?

d$-1.$ If the opportunity cost of capital is $11\%,$ calculate the NPV for projects A$,$ B$,$ and C$.$

Note: Negative amounts should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to $2$ decimal places.

d$-2.$ Which projects have positive NPVs$?$

e$.$ "Payback gives too much weight to cash flows that occur after the cutoff date." True or false?MetaHere are the expected cash flows for three projects:

a$.$ What is the payback period on each of the projects?

b$.$ If you use the payback rule with a cutoff period of $2$ years, which

projects will you accept?

c$.$ If you use a cutoff period of $3$ years, which projects will you accept?

d$-1.$ If the opportunity cost of capital is $11\%,$ calculate the NPV for

projects $A,B,$ and $C.$

Note: Negative amounts should be indicated by a minus sign. Do not

round intermediate calculations. Round your answers to $2$ decimal

places.

d$-2.$ Which projects have positive NPVs$?$

e$.$ "Payback gives too much weight to cash flows that occur after the

cutoff date." True or false?