Question
A firm with a 13% WACC is evaluating two projects for this year's capital budget. After-tax cash flows, including depreciation, are as follows: 0 1
A firm with a 13% WACC is evaluating two projects for this year's capital budget. After-tax cash flows, including depreciation, are as follows:
| 0 | 1 | 2 | 3 | 4 | 5 |
| Project M | -$6,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
| Project N | -$18,000 | $5,600 | $5,600 | $5,600 | $5,600 | $5,600 |
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Calculate NPV for each project. Do not round intermediate calculations. Round your answers to the nearest cent.
Project M:__$
Project N:__$
Calculate IRR for each project. Do not round intermediate calculations. Round your answers to two decimal places.
Project M:__%
Project N:__%
Calculate MIRR for each project. Do not round intermediate calculations. Round your answers to two decimal places.
Project M:__%
Project N:__%
Calculate payback for each project. Do not round intermediate calculations. Round your answers to two decimal places.
Project M:__years
Project N:__years
Calculate discounted payback for each project. Do not round intermediate calculations. Round your answers to two decimal places.
Project M:__years
Project N:__years
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Smart Supply Chain Finance
Authors: Hua Song
1st Edition
9811659966, 978-9811659966
