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Consider the following two mutually exclusive projects: Year 0 Cash Flow (A) 5342,000 53,000 73,000 73.000 448,000 Cash Flow (B) $50,500 24,800 22,800 20,300 15,400

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Consider the following two mutually exclusive projects: Year 0 Cash Flow (A) 5342,000 53,000 73,000 73.000 448,000 Cash Flow (B) $50,500 24,800 22,800 20,300 15,400 1 2 3 4 Whichever project you choose, if any, you require a return of 14 percent on your investment 0-1 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.) Project A Project B years years a-2 If you apply the payback criterion, which investment will you choose? O Project A O Project B b-1 What is the discounted payback period for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) years Project A Project B years b-2if you apply the discounted payback criterion, which investment will you choose? O Project A O Project B C-1 What is the NPV for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Project A Project B C-2 If you apply the NPV criterion, which investment will you choose? O Project A O Project B d-1 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.) % Project A Proiect B 1% b-21f you apply the discounted payback criterion, which investment will you choose? O Project A O Project B c-1 What is the NPV for each project? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Project A Project B c-2 If you apply the NPV criterion, which investment will you choose? O Project A O Project B WELL d-1 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.) % Project A Project B % d-21f you apply the IRR criterion, which investment will you choose? O Project A O Project B e-1 What is the profitability index for each project? (Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 32.161.) Project A Project B D e-2 If you apply the profitability index criterion, which investment will you choose? O Project A O Project B f. Based on your answers in (a) through (e), which project will you finally choose

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