Question: please answer a b and c Problem 5-2 Payback Consider the following projects: Cash Flows ( Proj ect A B c -1,300 -2,600 -3,250 1,300
Problem 5-2 Payback Consider the following projects: Cash Flows ( Proj ect A B c -1,300 -2,600 -3,250 1,300 1,300 1,300 1,300 1, 100 83 4,300 1,300 1,300 1,3 1, 300 a. If the opportunity cost of capital is 9%, which project(s) have a positive NPV? b. Calculate the payback period for each project. c. Which project(s) would a firm using the payback rule accept if the cutoff period is three years? Complete this question by entering your answers in the tabs below. Required A Required B Required C Which project(s) would a firm using the payback rule accept if the cutoff period is thr Project(s) accepted Required B Required C
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
