Question: You have been provided the following information for a mutually exclusive capital budgeting problem: The company has a required rate of return of 12 percent.

You have been provided the following information for a mutually exclusive capital budgeting problem:

The company has a required rate of return of 12 percent. Clearly label your work and show your calculations!

a.Calculate the payback period for both projects.

b.Calculate the discounted payback period for each of the projects.

c.Calculate the net present value for each of the projects.

d.Calculate the profitability index for each of the projects.

e.Calculate the IRR for each of the projects using linear interpolation and a spreadsheet!

f.Complete the following table:

You have been provided the following information
Evaluation Technique Project to Accept and Why Payback Discounted Payback NPV Profitability Index IRR

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