Business, 24.08.2021 15:50 lexigarwood

Each of two mutually exclusive projects involves an investment of $168,000. Net cash flows for the projects are as follows: Year Project "A" Project "B"
1. $60,000 $55,000
2. 68,000 64,000
3. 36,000 42,000

Required:
a. Calculate each project's payback period.
b. Compute the Net Present Value (NPV) of each project when the firm's cost of capital is 8 percent.
c. Internal Rate of Return (IRR) -Your choice; based on your answer to part (B).
d. Modified Internal Rate of Return (MIRR) Your choice; based on your answer to part (B).

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Each of two mutually exclusive projects involves an investment of $168,000. Net cash flows for the p...

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