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Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects' after-tax cash
Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects' after-tax cash flows are shown on the timeline below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all included in these cash flows. Both projects have 4-year lives, and they have risk characteristics similar to the firm's average project. Bellinger's WACC is 7%. Answer the following. Do not round your intermediate calculations. Round your answer to three decimal places. What is Project A's payback? Blank 1 years. What is Project A's discounted payback? Blank 2 years. What is Project B's payback? Blank 3 years. What is Project B's discounted payback? Blank 4 years. Bla Blank : Blank 3 Blank 4 Ad
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