Consider the following two mutually exclusive projects:

Year	Cash Flow (A)	Cash Flow (B)
0	$ 357,000	$ 46,500
1	38,000	23,300
2	58,000	21,300
3	58,000	18,800
4	433,000	13,900

Whichever project you choose, if any, you require a return of 14 percent on your investment.

a-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.)

a-2.	If you apply the payback criterion, which investment will you choose?
	multiple choice 1 Project A 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.)

b-2.	If you apply the discounted payback criterion, which investment will you choose?
	multiple choice 2 Project A 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.)

c-2.	If you apply the NPV criterion, which investment will you choose?
	multiple choice 3 Project A Project B

d-1.	What is the IRR for each project? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

d-2.	If you apply the IRR criterion, which investment will you choose?
	multiple choice 4 Project A 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.)

e-2.	If you apply the profitability index criterion, which investment will you choose?
	multiple choice 5 Project A Project B

f.	Based on your answers in (a) through (e), which project will you finally choose?