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1. There is a project with the following cash flows: Year 0 Cash Flow -$23,400 2345 6,800 7,900 7,000 7,600 6,400 What is the

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1. There is a project with the following cash flows: Year 0 Cash Flow -$23,400 2345 6,800 7,900 7,000 7,600 6,400 What is the payback period? You must show all your work to earn credits. 2. Filter Corporation has a project available with the following cash flows: Year Cash Flow -$16,000 01234 5,800 7,100 6,100 4,900 What is the project's IRR? You must show all your work to earn credits. 3. Your company has a project available with the following cash flows: Year Cash Flow -$81,100 012345 21,500 25,000 30,800 26,000 19,800 If the required return is 14 percent, should the project be accepted based on the IRR? You must show all your work to earn credits. 4. You are evaluating two projects with the following cash flows: Year Project X 0 -$551,400 Project Y -$520,000 1 217,900 207,600 227,800 217,400 3 235,000 225,300 4 194,700 186,100 What is the crossover rate for these two projects? You must show all your work to earn credits.

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1 To calculate the payback period we need to accumulate the cash flows until they equal the initial investment Year 0 523400 Year 1 6800 Year 2 7900 Y... blur-text-image

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