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3. You, the director of capital budgeting for Bulls Eye Health Systems, Inc., has estimated the following cash flows in thousands of dollars for a
3. You, the director of capital budgeting for Bulls Eye Health Systems, Inc., has estimated the following cash flows in thousands of dollars for a proposed new service:\ Year Expected Net Cash Flow\ 0 -100\ 1 80\ 2 40\ 3 30\ The project's cost of capital is 11 percent.\ a. What is the project's payback period?\ -payback period =1 year + \ b. What is the project's NPV?\ -NPV = 80/ (1+0.11) + 40/(1+.11) ^2 +30/(1+.11) ^3 = 126.472 or 126\ c. What is the project's IRR?\ -IRR =
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