bMy Questions bartleby X X [Solved] Buy Coastal, InX C Consider The Following X payback period formula Chapter 9 Homework Assignments: FIN 3504 х X ezto.mheducation.com/hm.tpx Paused АВP Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) -$344,000 51,000 71,000 71,000 446,000 -$ 49,000 24,600 22,600 20,100 15,200 1 2 3 4 Whichever project you choose, if any, you require a 15 percent return on your investment. a-1 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 a-2 If you apply the payback criterion, which investment will you choose? Project A Project B b-1 What is the discounted payback period for each project? (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16)) Discounted payback period Project A years Project B years b-2 If you apply the discounted payback criterion, which investment will you choose? Project A Project B c-1 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 2:18 PM x PType here to search X 10/10/2019 bMy Questions bartleby X X [Solved] Buy Coastal, In X C Consider The Following X payback period formula Chapter 9 Homework Assignments: FIN 3504 X X C ezto.mheducation.com/hm.tpx Paused ABP c-1 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-2 If you apply the NPV criterion, which investment will you choose? Project A Project B d-1 What is the IRR for each project? (Round your answers to 2 decimal places. (e.g., 32.16)) IRR Project A Project B d-2 If you apply the IRR criterion, which investment will you choose? Project A Project B e-1 What is the profitability index for each project? (Do not round intermediate calculations and round your final ansswers to 3 decimal places. (e.g., 32.161)) Profitability index Project A Project B e-2 If you apply the profitability index criterion, which investment will you choose? Project A Project B f Based on your answers in (a) through (e), which project will you finally choose? 2:18 PM PType here to search X 10/10/2019

Corporate Fin Focused Approach
5th Edition
ISBN:9781285660516
Author:EHRHARDT
Publisher:EHRHARDT
Chapter14: Distributions To Shareholders: Dividends And Repurchases
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Question
bMy Questions bartleby X
X
[Solved] Buy Coastal, InX
C Consider The Following X
payback period formula
Chapter 9 Homework
Assignments: FIN 3504
х
X
ezto.mheducation.com/hm.tpx
Paused
АВP
Consider the following two mutually exclusive projects:
Year
Cash Flow (A) Cash Flow (B)
-$344,000
51,000
71,000
71,000
446,000
-$ 49,000
24,600
22,600
20,100
15,200
1
2
3
4
Whichever project you choose, if any, you require a 15 percent return on your investment.
a-1 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
a-2 If you apply the payback criterion, which investment will you choose?
Project A
Project B
b-1 What is the discounted payback period for each project? (Do not round intermediate calculations
and round your final answers to 2 decimal places. (e.g., 32.16))
Discounted payback period
Project A
years
Project B
years
b-2 If you apply the discounted payback criterion, which investment will you choose?
Project A
Project B
c-1 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
2:18 PM
x
PType here to search
X
10/10/2019
Transcribed Image Text:bMy Questions bartleby X X [Solved] Buy Coastal, InX C Consider The Following X payback period formula Chapter 9 Homework Assignments: FIN 3504 х X ezto.mheducation.com/hm.tpx Paused АВP Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) -$344,000 51,000 71,000 71,000 446,000 -$ 49,000 24,600 22,600 20,100 15,200 1 2 3 4 Whichever project you choose, if any, you require a 15 percent return on your investment. a-1 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 a-2 If you apply the payback criterion, which investment will you choose? Project A Project B b-1 What is the discounted payback period for each project? (Do not round intermediate calculations and round your final answers to 2 decimal places. (e.g., 32.16)) Discounted payback period Project A years Project B years b-2 If you apply the discounted payback criterion, which investment will you choose? Project A Project B c-1 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 2:18 PM x PType here to search X 10/10/2019
bMy Questions bartleby X
X
[Solved] Buy Coastal, In X
C Consider The Following X
payback period formula
Chapter 9 Homework
Assignments: FIN 3504
X
X
C
ezto.mheducation.com/hm.tpx
Paused
ABP
c-1 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-2 If you apply the NPV criterion, which investment will you choose?
Project A
Project B
d-1 What is the IRR for each project? (Round your answers to 2 decimal places. (e.g., 32.16))
IRR
Project A
Project B
d-2 If you apply the IRR criterion, which investment will you choose?
Project A
Project B
e-1 What is the profitability index for each project? (Do not round intermediate calculations and round
your final ansswers to 3 decimal places. (e.g., 32.161))
Profitability index
Project A
Project B
e-2 If you apply the profitability index criterion, which investment will you choose?
Project A
Project B
f Based on your answers in (a) through (e), which project will you finally choose?
2:18 PM
PType here to search
X
10/10/2019
Transcribed Image Text:bMy Questions bartleby X X [Solved] Buy Coastal, In X C Consider The Following X payback period formula Chapter 9 Homework Assignments: FIN 3504 X X C ezto.mheducation.com/hm.tpx Paused ABP c-1 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-2 If you apply the NPV criterion, which investment will you choose? Project A Project B d-1 What is the IRR for each project? (Round your answers to 2 decimal places. (e.g., 32.16)) IRR Project A Project B d-2 If you apply the IRR criterion, which investment will you choose? Project A Project B e-1 What is the profitability index for each project? (Do not round intermediate calculations and round your final ansswers to 3 decimal places. (e.g., 32.161)) Profitability index Project A Project B e-2 If you apply the profitability index criterion, which investment will you choose? Project A Project B f Based on your answers in (a) through (e), which project will you finally choose? 2:18 PM PType here to search X 10/10/2019
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