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CAPM Investment Ltd evaluating three mutually exclusive investment projects. Cash flows associated with these three projects have given below. Project A B C Initial Outlay

CAPM Investment Ltd evaluating three mutually exclusive investment projects. Cash flows associated with these three projects have given below.

Project A B C
Initial Outlay (-116,000) (-120,000) (-260,000)
Year 1 56,000 29,000 74,600
Year 2 46,000 32,000 74,600
Year 3 - 30,000 74,600
Year 4 58,600 28,400 74,600
Year 5 73,600 74,600

The company expect 12% return on similar project.

You are required to estimate the net present value, profitability index and the payback period of each project.

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