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A firm has a WACC of 10.43% and is deciding between two mutually exclusive projects. Project A has an initial investment of $62.62. The additional
A firm has a WACC of 10.43% and is deciding between two mutually exclusive projects. Project A has an initial investment of $62.62. The additional cash flows for project A are: year 1 = $15.68, year 2 = $38.44, year 3 = $44.74. Project B has an initial investment of $71.88. The cash flows for project B are: year 1 = $53.35, year 2 = $45.35, year 3 = $24.25. Calculate the Following:
- Payback Period for Project A:
- Payback Period for Project B:
- NPV for Project A:
- NPV for Project B:
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