Analyze the following cash flows for Projects S and T:

Year	Project S	Project T
0	-$80,000	-$90,000
1	$18,000	$19,000
2	$19,000	$21,000
3	$20,000	$23,000
4	$21,000	$25,000
5	$22,000	$27,000
6	$23,000	$30,000

a. Calculate the NPV, IRR, and traditional payback period for each project, assuming a required rate of return of 9%.

b. Determine the discounted payback period for each project.

c. Calculate the profitability index for each project.

d. Discuss how inflation could impact the cash flows and the overall project evaluation.

e. Evaluate the ethical considerations that should be taken into account when making capital investment decisions.

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Your company is considering two projects, Project A and Project B. The expected net cash flows for the projects are as follows:

Year	Project A	Project B
0	($150)	($200)
1	$50	$80
2	$100	$120
3	$200	$180

The required rate of return is 12%. Evaluate the projects based on the following:

a. Calculate the payback period for each project. b. Determine the Net Present Value (NPV) for each project. c. Calculate the Internal Rate of Return (IRR) for each project. d. Which project would you recommend based on NPV and IRR?

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ABC Corporation is assessing three different projects. The estimated net cash flows for each project are as follows:

Year	Project X	Project Y	Project Z
0	($500)	($300)	($400)
1	$150	$100	$120
2	$200	$150	$180
3	$250	$200	$220
4	$300	$250	$300

The company's discount rate is 8%. Answer the following:

a. Calculate the payback period for each project. b. Determine the NPV for each project. c. Calculate the IRR for each project. d. Which project should be accepted based on the NPV and IRR criteria?

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XYZ Manufacturing has the following cash flows for two potential projects:

Year	Project 1	Project 2
0	($250)	($300)
1	$100	$80
2	$150	$120
3	$200	$180
4	$250	$220

The cost of capital is 10%. You need to determine:

a. The payback period for both projects. b. The NPV for each project. c. The IRR for each project. d. Based on NPV and IRR, which project is more viable?

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A firm is evaluating two new investments. The cash flows for each are given below:

Year	Investment A	Investment B
0	($100)	($150)
1	$40	$60
2	$50	$80
3	$70	$100

The required rate of return is 9%. Perform the following:

a. Calculate the payback period for each investment. b. Determine the NPV for each investment. c. Compute the IRR for each investment. d. Recommend the better investment based on NPV and IRR.

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Consider the following cash flow projections for two projects:

Year	Project Alpha	Project Beta
0	($200)	($250)
1	$60	$80
2	$90	$100
3	$120	$140
4	$140	$180

The discount rate is 11%. You need to:

a. Calculate the payback period for each project. b. Determine the NPV for both projects. c. Calculate the IRR for each project. d. Advise which project should be pursued based on NPV and IRR.

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A company is considering three projects with the following cash flows:

Year	Project Red	Project Blue	Project Green
0	($300)	($350)	($250)
1	$100	$120	$90
2	$150	$180	$120
3	$200	$240	$160
4	$250	$300	$200

The company's cost of capital is 10%. Perform the following:

a. Find the payback period for each project. b. Calculate the NPV for each project. c. Determine the IRR for each project. d. Which project would you recommend based on NPV and IRR?

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Review the following cash flow information for two projects:

Year	Project C	Project D
0	($500)	($400)
1	$150	$120
2	$200	$180
3	$250	$220
4	$300	$250

The required return is 7%. You need to:

a. Determine the payback period for each project. b. Calculate the NPV for both projects. c. Find the IRR for each project. d. Suggest the better project based on NPV and IRR.

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Evaluate the following projects using the given cash flows:

Year	Project E	Project F
0	($150)	($180)
1	$50	$60
2	$80	$90
3	$100	$120
4	$120	$150

The discount rate is 9%. Conduct the following analysis:

a. Find the payback period for each project. b. Determine the NPV for both projects. c. Compute the IRR for each project. d. Decide which project is preferable based on NPV and IRR.

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Your firm is looking at two investment opportunities with the following cash flows:

Year	Project M	Project N
0	($100)	($120)
1	$40	$50
2	$60	$70
3	$80	$90

The firm's cost of capital is 8%. Answer the following:

a. Calculate the payback period for each project. b. Compute the NPV for both projects. c. Determine the IRR for each project. d. Recommend the project to be undertaken based on NPV and IRR.

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Analyze the following investment options with the provided cash flows:

Year	Option 1	Option 2
0	($200)	($220)
1	$70	$80
2	$100	$110
3	$130	$140

The discount rate is 10%. You are required to:

a. Determine the payback period for each option. b. Calculate the NPV for each option. c. Find the IRR for both options. d. Advise on the better option based on NPV and IRR.

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Q1

A manufacturing company plans to invest in new machinery with a capital cost of $450,000. The machine's useful life is 6 years, with no salvage value. The machine is expected to generate annual net operating income of $75,000 after depreciation. The company's tax rate is 40%. The present value factors for 6 years are:

Discount Rate	Cumulative Factors
10%	4.355
12%	4.111
14%	3.889
16%	3.685
18%	3.498

Requirements:

1. Calculate the annual cash flow after tax.
2. Compute the net present value (NPV) at different discount rates.
3. Determine the internal rate of return (IRR).
4. Suggest if the investment is feasible based on NPV and IRR.