A.

What is the payback period for the following set of cash flows for Johnson and Company?

Year	Cash Flow
0	$ 5,900
1	1,300
2	2,900
3	2,500
4	1,900

B.

Johnson and Company evaluates all of its projects by using the NPV decision rule.

Year	Cash Flow
0	$26,000
1	19,000
2	15,000
3	4,000

Required:
(a)	At a required return of 17 percent, what is the NPV for this project?
	(Click to select) 3,620.61 3,694.5 3,768.39 3,546.72 3,879.23

(b)	At a required return of 36 percent, what is the NPV for this project?
	(Click to select) -2,236.21 -2,375.97 -2,329.38 -2,445.85 -2,282.79

C.

Johnson and Company produce a project that provides annual cash flows of $12,600 for 12 years costs $71,320 today.

Required:
(a)	If the required return is 17 percent, what is the NPV for this project?
	(Click to select) $-9,966 $-8,889.3 $-69,813.4 $-8,466 $-8,042.7

(b)	Determine the IRR for this project.
	(Click to select) 14.7% 14.28% 14% 13.3% 13.72%