Question: Stellar ?Inc. has two projects as follows: Project Initial CF CF 1 CF 2 CF 3 CF 4 A - 2,400 800 1,150 1,000 1,850

Stellar?Inc. has two projects as follows:
Project | Initial CF | CF1 | CF2 | CF3 | CF4 | ||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
A | -2,400 | 800 | 1,150 | 1,000 | 1,850 | ||||||
B | -2,950 | 700 | 1,450 | 1,000 | 3,850 |
If?Stellar?set?2.49?years as a cut-off period for screening projects, which projects will be selected, using the payback period method??(Round answers to 2 decimal places, e.g. 125.25.)
Project A payback period | enter a number of years??years | ||
|---|---|---|---|
Project B payback period | enter a number of years?years | ||
| select a project?will be selected. | |||
Stellar Inc. has two projects as follows: Initial CF CF -2,400 800 -2,950 700 Project A B CF2 CF3 1,150 1,450 1,000 Project B payback period CF4 1,000 1,850 3,850 If Stellar set 2.49 years as a cut-off period for screening projects, which projects will be selected, using the payback period method? (Round answers to 2 decimal places, e.g. 125.25.) Project A payback period will be selected. years years
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