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1. Quattro, Inc. has the following mutually exclusive projects available. The company has historically used a four-year cutoff for projects. The required return is 11

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1. Quattro, Inc. has the following mutually exclusive projects available. The company has historically used a four-year cutoff for projects. The required return is 11 percent. Year Cash Flow (A) Cash Flow (B) 0 -$82.000 -$125.000 1 15.700 38,600 2 18,300 33,400 3 23.900 31.200 4 26.200 27.500 5 32.100 24,000 Calculate the payback for Project A and the payback for Project B. The NPV for Project A and the NPV for Project B. Which project, if any, should the company accept? 2. Miller Brothers is considering a project that will produce cash inflows of $61,500, $72,800, $84,600, and $68,000 a year for the next four years, respectively. What is the internal rate of return if the initial cost of the project is $225,000

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