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1) payback period 2)NPV 3)Internal rate of return 4)Profitability index please show work A B c D E F G Example 1 Example 2 2,500,000
1) payback period
A B c D E F G Example 1 Example 2 2,500,000 Initial Investment 2,500,000 Annual cash inflows: $1,000,000 $1,200,000 Annual cash outflows: $600,000 $850,000 Annual non-cash (all depreciation) expenses: Use straight line depreciation to find! 25 30 # of years of expected useful life of project: For both, assume no residual value and Annuity 8% Discount Rate 10.675 8 % Discount Rate 11.258 2)NPV
3)Internal rate of return
4)Profitability index
please show work
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