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Determining the payback period for project

Problem:

The director of capital budgeting for Giants Inc. has identified two mutually exclusive projects, L and S, with the following expected net cash flows:

Expected Net Cash Flows
Year Project L Project S
0 ($100) ($100)
1 10 70
2 60 50
3 80 20

Both projects have a cost of capital of 10%.

-What is the payback period for Project S?

-What is Project L's Net Present Value (NPV)?

-What is Project L's Internal Rate of Return (IRR)?

-What is Project L's Modified Internal Rate of Return (MIRR)?

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Finance Basics: Determining the payback period for project

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Finance Basics: Determining the payback period for project

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