Question: Moving to another question will save this response. Question 18 Oto 120 20 points Project A Project B Initial Cost $ 2,800.00 $ 2,700.00 Year

 Moving to another question will save this response. Question 18 Oto

Moving to another question will save this response. Question 18 Oto 120 20 points Project A Project B Initial Cost $ 2,800.00 $ 2,700.00 Year Cash flows 1 $ 1.010.00 $ 1,100.00 2 $ 1,500.00 $ 1,100.00 3 $ 1,300.00 $ 1,100.00 Beta 1.3 1.6 Johan Company is considering investment in one of two mutually exclusive projects A and B which are described above. Johan Company's cost of capital is 15 percent, the market return is 10 percent and the risk-free rate is 5 percent. (Answers in 2 decimal places) a) Calculate net present value for Project A. 67.25 b) Calculate net present value for Project B. c) Calculate the payback period for Project A d) Calculate thepayback period for Project B e) Which project is recommended, A or B? Question : LA Moving to another question will save this response. MacBook Pro

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