1) Calculate the cash payback period for each of the four projects.

2. Calculate the net present value for each project at a cost of capital of 12%.

Indigo Ltd. is a small company that is currently analyzing capital expenditure proposals for the purchase of equipment. The capital budget is limited to $305,000, which Indigo believes is the maximum capital it can raise. The financial adviser is preparing an analysis of four projects that the company is considering, as follows: years years Net Present Value