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Apple Company is considering Project Z. The relevant information is given below: Project z Year O Cash Flow - 120,000 Year 1 Cash Flow 60,000

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Apple Company is considering Project Z. The relevant information is given below: Project z Year O Cash Flow - 120,000 Year 1 Cash Flow 60,000 Year 2 Cash Flow 48,000 Year 3 Cash Flow 38,000 Year 4 Cash Flow 24,000 Year 5 Cash Flow 12,000 Project Life 5 years Apple Company uses a 12.5% discount rate. The cut off period set by the company for such projects is 4 years. a. Calculate the payback period. Should this project be accepted? b. Calculate the net present value. Should this project be accepted? C. Calculate the profitability index. Should this project be accepted? d. Should the project be accepted finally

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