Question: Quantitative Problem: Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects'
Quantitative Problem: Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects' aftertax cash flows are shown on the time line below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all included in these cash flows. Both projects have year lives, and they have risk characteristics similar to the firm's average project. Bellinger's WACC is
tableProject AProject B
What is Project As payback? Do not round intermediate calculations. Round your answer to four decimal places.
years
What is Project As discounted payback? Do not round intermediate calculations. Round your answer to four decimal places.
years
What is Project Bs payback? Do not round intermediate calculations. Round your answer to four decimal places.
years
What is Project Bs discounted payback? Do not round intermediate calculations. Round your answer to four decimal places.
years
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