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Compute the Profitability Index for Project A Compute the Profitability Index for Project B 3 Compute the Discounted Payback Period for Project A. I Cat

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Compute the Profitability Index for Project A Compute the Profitability Index for Project B 3 Compute the Discounted Payback Period for Project A. I Cat Diccionandala Dunedinta 10948 You are evaluating two different projects for investment. Each of the projects is of equal risk and have a required rate of return of 12 percent. Management has mandated that it will accept projects that break even within 2.5 years. The expected cash flows for each project are as follows: Project A Project B Year Cash Flows Cash Flows 0 $-1,352,530 $-1,458,520 1 426,562 426,562 2 565,000 875,000 3 875.000 565,000 1.000.000 1,000,000

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