Question: SoBee is considering two mutually exclusive capital budgeting projects, Project A and Project B, which have a cost of capital of 12%. The expected future
SoBee is considering two mutually exclusive capital budgeting projects, Project A and Project B, which have a cost of capital of 12%. The expected future cash flows are given below. Year 0 1 2 3 4 CF Project A -130 60 50 40 30 20 CF Project B-130 30 35 35 50 75 If you are choosing only on the basis of payback, what is the payback of the worse project? (Express your answer in years accurate to four decimal places.)
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