Information for Questions #8 - #11:

Consider the below estimated cash flows for Project A. Assume the cost of capital is 8%.

Year	Project A
0	($30,000)
1	$8,000
2	$9,000
3	$7,000
4	$10,000

8. Find the net present value (NPV) of Project As projected cash flows.

a.	$4,000
b.	($3,200)
c.	($1,824)
d.	$1,754
e.	($1,969)

9. Find the Internal Rate of Return (IRR) Project As projected cash flows.

a.	13.3%
b.	8.0%
c.	6.3%
d.	5.1%
e.	There is not enough information to answer this question

10. Find the Profitability Index (PI) of Project As projected cash flows.

a.	0.07
b.	0.93
c.	1.13
d.	0.73
e.	-0.93

11. Find the Modified Internal Rate of Return (MIRR) for Project As projected cash flows.

a.	13.3%
b.	8.0%
c.	6.2%
d.	5.1%
e.	3.5%