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Consider the following cash flows of two mutually exclusive projects for AZ Motorcars. Assume the discount rate for both projects is 8 percent. Year AZM

Consider the following cash flows of two mutually exclusive projects for AZ Motorcars. Assume the discount rate for both projects is 8 percent.

Year AZM Mini-SUV AZF Full-SUV
0 $ 530,000 $ 880,000
1 336,000 366,000
2 212,000 452,000
3 166,000 306,000

a. What is the payback period for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Payback period
AZM Mini-SUV years
AZF Full-SUV years

b. What is the NPV for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

NPV
AZM Mini-SUV $
AZF Full-SUV $

c. What is the IRR for each project? (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

IRR
AZM Mini-SUV %
AZF Full-SUV %

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