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Answer the following questions. A company is analyzing an independent project, S, whose cash flows are shown below: Year 0 Year 1 Year 2 Year

Answer the following questions.

A company is analyzing an independent project, S, whose cash flows are shown below:

Year 0

Year 1

Year 2

Year 3

Year 4

Cashflow for S

-100

10

50

20

60

The companys cost of capital is 10%, and it can get an unlimited amount of capital at that cost.

What is the discounted payback period for Project S?

Select one:

a. 2.67 years

b. 3.66 years

c. 2.99 years

d. 3.84 years

e. 2.33 years

Continued from the previous question. What is the internal rate of return (IRR) for Project S?

Select one:

a. 15.22%

b. 12.46%

c. 20.12%

d. 10.00%

e. 18.54%

Continued from the previous question. What is the Net Present Value (NPV) of Project S?

Select one:

a. $12.340

b. $23.140

c. $ 6.420

d. $18.732

e. $13.934

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