1)Rx Systems is considering a project that has the following cash flows for Project X and Y. What is the discounted payback of X? Cost of Capital = 10% Year Project X Project Y 0 -$1,000 -$2,000 1 $500 $1,400 2 $500 $800 3 $500 $400 Answer Options 1.75 years 2.00 years 2.35 years 2.22 years 0.71 year

2) Rx Systems is considering a project that has the following cash flows for Project X and Y. What is the PI of X, using the new method?

Cost of Capital = 10%
Year	Project X	Project Y
0	-$1,000	-$2,000
1	$500	$1,400
2	$500	$800
3	$500	$400

Answer Options

		0.243
		0.201
		0.545
		0.920
		0.117