Objectives (Outcome #3): This assignment is designed to re-enforce your knowledge and skills in using project selection techniques, including computerized tools, such as MS Excel. This is an individual assignment and collaborations of any kind will not be tolerated, and will be investigated and penalized as necessary. Task: A. Given the following table with cash flows (in thousands of dollars) for four projects, compute and find each of the following selection criteria for each project: 1) NPV 2) IRR 3) ROI (discounting approach) 4) Payback period (discounting approach, whole number/year) B. Based on your calculation results in (A) above, determine whether each project, considered independently. is feasible acceptable or not, using each of the following decision rules: a. NPV: only positive values are accepted b. IRR: Cost of capital is 7% c. ROI: RRR = 10% d. Payback: maximum 3 years C. Based on your results in (A) and (B) above, rank the three projects from 1 to 3 according to their financial desirability (i.e. #1 best, #2 second best, etc.) Table 1: Cash Flows (Note: cash flows occur at the end of each year) Projects: Cost/Benefits Year 1 Year 2 Year 3 Year 4 Total Gross Benefits PVF: 0.93 0.87 0.82 0.76 Benefits 3,000 4,000 5,000 6,000 18,000 Project 1 Costs 4,000 6,000 5,000 1,000 2,000 16,000 Benefits 3,000 5,000 6,000 6,000 20,000 Project 2 Costs 4,000 2,000 4,000 5,000 5,000 18.000 Benefits 2,000 5,000 7,000 7,000 21,000 Project 3 Costs 3,000 6,000 5,000 5,000 2,000 19.000 Notes: 1. Since cash flows occur at the end of the year, payback must be a whole number, with no fraction. 2. Your answer to (B) must indicate for EACH project whether the project is acceptable" or "not acceptable/rejected" using EACH of the four criteria (i.e. four accept/reject decisions for each project). 3. The assignment must be submitted by uploading it to Blackboard through the link "Submitting Homework to the "Assignment No 1" folder 4. Upload a Word or PDF format of your solution to Blackboard by midnight Wednesday February 17, 2021. Objectives (Outcome #3): This assignment is designed to re-enforce your knowledge and skills in using project selection techniques, including computerized tools, such as MS Excel. This is an individual assignment and collaborations of any kind will not be tolerated, and will be investigated and penalized as necessary. Task: A. Given the following table with cash flows (in thousands of dollars) for four projects, compute and find each of the following selection criteria for each project: 1) NPV 2) IRR 3) ROI (discounting approach) 4) Payback period (discounting approach, whole number/year) B. Based on your calculation results in (A) above, determine whether each project, considered independently. is feasible acceptable or not, using each of the following decision rules: a. NPV: only positive values are accepted b. IRR: Cost of capital is 7% c. ROI: RRR = 10% d. Payback: maximum 3 years C. Based on your results in (A) and (B) above, rank the three projects from 1 to 3 according to their financial desirability (i.e. #1 best, #2 second best, etc.) Table 1: Cash Flows (Note: cash flows occur at the end of each year) Projects: Cost/Benefits Year 1 Year 2 Year 3 Year 4 Total Gross Benefits PVF: 0.93 0.87 0.82 0.76 Benefits 3,000 4,000 5,000 6,000 18,000 Project 1 Costs 4,000 6,000 5,000 1,000 2,000 16,000 Benefits 3,000 5,000 6,000 6,000 20,000 Project 2 Costs 4,000 2,000 4,000 5,000 5,000 18.000 Benefits 2,000 5,000 7,000 7,000 21,000 Project 3 Costs 3,000 6,000 5,000 5,000 2,000 19.000 Notes: 1. Since cash flows occur at the end of the year, payback must be a whole number, with no fraction. 2. Your answer to (B) must indicate for EACH project whether the project is acceptable" or "not acceptable/rejected" using EACH of the four criteria (i.e. four accept/reject decisions for each project). 3. The assignment must be submitted by uploading it to Blackboard through the link "Submitting Homework to the "Assignment No 1" folder 4. Upload a Word or PDF format of your solution to Blackboard by midnight Wednesday February 17, 2021