Consider the following two mutually exclusive projects year


Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 –$ 355,000 –$ 47,500 1 40,000 23,500 2 60,000 21,500 3 60,000 19,000 4 435,000 14,100 Whichever project you choose, if any, you require a 15 percent return on your investment.

a-What is the payback period for each project? (Round your answers to 2 decimal places. (e.g., 32.16))

Payback period: Project A years? Project B years?

b-What is the NPV for each project? (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16))

NPV: Project A $ ? Project B $?

c- What is the IRR for each project? (Round your answers to 2 decimal places. (e.g., 32.16))

IRR: Project A % ? Project B %?

d-1 What is the profitability index for each project? (Do not round intermediate calculations and round your final answers to 3 decimal places. (e.g., 32.161))

Profitability index: Project A? Project B?

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Financial Management: Consider the following two mutually exclusive projects year
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