1. Calculate the Payback for each project.

If the company imposes a payback cutoff of three years for its investment projects, should it accept either of the two projects?

2. Calculate the Discounted Payback for each project.

Which project is preferred, based on discounted payback period? Why?

3. Calculate the Net Present Value (NPV) for each project?

Which project is preferred, based on NPV?

4. Calculate the Internal Rate of Return (IRR) for each project.

Which project is preferred, based on IRR?

5. Calculate the Modified Internal Rate of Return (MIRR)

Which project is preferred, based on MIRR?

This assignment is based on Course Learning Objectives CLO1, CLO2 \& CLO4, and the following Module 4 Learning Objectives: Be able to evaluate investment opportunities using various capital budgeting techniques. Use the following data to answer questions 1-5: Wilson \& Sons Inc. requires 15% return on its investments. The company is considering the following two mutually exclusive investment projects