This problem will give you some practice calculating NPVs and paybacks. A

proposed overseas expansion has the following cash flows:

Year Cash Flow

$0-$$$200$

$1$ $$50$

$2$ $$60$

$3$ $$70$

$4$ $$200$

Calculate:

a$)$ the payback,

b$)$ the discounted payback at a required return of $10$ percent,

c$)$ the NPV at a required return of $10$ percent,

d$)$ the IRR.