Answer this question

(a)WACC is 10.76%

(b)Payback is 3.3 years

(c)NPV is 6866.48

(d)IRR is 20.12%

(e)Profitability Index is 1.26

(a) WACC is 10.76% and NPV is 6866.48. Should RIC Inc. undertake the investment?

(b)When should a company undertake an investment using the NPV?

(c)Compare the IRR computed (2d) with the WACC. Should RIC Inc. go ahead with the project? ( A simple "Yes or No" will not do.)

(d)When should a company undertake an investment using the IRR?