Question: Saved Problem 9-17 Comparing Investment Criteria (L01, 2, 3,5,7) Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$




Saved Problem 9-17 Comparing Investment Criteria (L01, 2, 3,5,7) Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 -$ -$ 353,000 48,500 1 42,000 23,700 2 62,000 21,700 3 62.000 19,200 4 437,000 14,300 Whichever project you choose, if any, you require a return of 16 percent on your Investment 0-1. What is the payback period for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Payback period years Project A Project B years Help Save C O Project B b- What is the discounted payback period for each project? (Do not round intermediate 1. calculations and round your answers to 2 decimal places, e.g., 32.16.) Project A Project B Discounted payback period years years b- 2. If you apply the discounted payback criterion, which investment will you choose? O Project A 2. URLI wy O Project A O Project B c-1. What is the NPV for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) NPV Project A Project B 2. If you apply the NPV criterion, which investment will you choose? bok mt d. What is the IRR for each project? (Do not round intermediate calculations and enter 1. your answers as a percent rounded to 2 decimal places, e.g., 32.16.) nt IRR Project A Project B % % e-1.What is the profitability index for each project? (Do not round Intermediate calculations and round your answers to 3 decimal places, e.g., 32.161.) Profitability index Project A Project B
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