Company: LMN Technology Innovations

Managerial Accounting Process: Capital Budgeting

Project	Initial Investment ($ million)	Annual Cash Flows ($ million)	Payback Period (years)	Net Present Value (NPV) ($ million)
Project A	50	20	3	10
Project B	40	15	4	5
Project C	60	25	5	12

Requirements:

1. Capital Budgeting Techniques:
   • Calculate the payback period for each project and determine which project LMN Technology Innovations should select based on the payback period criterion.

1. Net Present Value Analysis:
   • Compute the NPV for each project assuming a discount rate of 10% and recommend the most financially beneficial project for LMN Technology Innovations.

1. Internal Rate of Return (IRR):
   • Determine the IRR for Project C and evaluate whether it meets LMN Technology Innovations' investment criteria.

1. Risk Assessment:
   • Discuss the risk factors associated with investing in Project A compared to Project B and how these factors impact the decision-making process.

1. Strategic Investment Decision:
   • Recommend a strategic investment decision for LMN Technology Innovations based on the capital budgeting analysis, considering both financial and non-financial factors.