Question: Please explain in detail and write or type as neatly as possible. 0 Consider the following two mutually exclusive projects: Year Cash Flow A -$390,000

Please explain in detail and write or type as neatly as

Please explain in detail and write or type as neatly as possible.

0 Consider the following two mutually exclusive projects: Year Cash Flow A -$390,000 1 54,000 2 74,000 3 69,000 4 444,000 Cash Flow B -$62,000 32,000 26,000 23,500 18,600 Whichever project you choose, if any, you require a 15% return on your investment. 1. a. What is the payback period for each project? b. If you apply the payback criterion, which investment will you choose? 2. a. What is the discounted payback period for each project? b. If you apply the discounted payback criterion, which investment will you choose

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