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A firm's cost of capital is 8 percent. The firm has three investments to choose among; the cash flows of each are as follows: Each

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A firm's cost of capital is 8 percent. The firm has three investments to choose among; the cash flows of each are as follows: Each investment requires a $1,300 cash outlay, and investments B and C are mutually excluslve. Use Appendix A, Appendix B and Appendix D to answer the questions. the investments are not mutually exclusive and there are no budget restrictions: a. Which investmentisi should the firm make according to the net present values? Use a minus sign to enter negative yalues, If any, Round your anwers to the n A: 5 B: 5 C: $ The firm should make irvestment(s) b. Which investment(s) should the firm make according to the internal rates of retum? found your answers to the nearest whole number. A: Bs: Ci The firm should make investment(s) c. If all funds from investment C are reinvested at 15 percent, which investment(s) should the firm make? Round your answer to the nearest dollaf. Terminal value of invectment C:5 The firm should make investment(s) Would your answer be different if the reinvestment rate were B percent? Round your answer to the nearest dollar. Terminal value of investment C:$ The firm should make investment(s)

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