Consider the following two mutually exclusive projects: Year Cash Flow(A) Cash Flow(B) 0 -52000 -50000 1 45000 25000 2 50000 40000 3 65000 19500 Whichever project you choose, if any, you require a 12 percent return on your investment. Use payback period criterion and make a choice. Payback period for project A ; Payback period for project B Using discounted payback period criterion, make a choice. Discounted payback period for project A ; Discounted payback period for project B What is the choice when you use NPV? NPV for project A , NPV for project B How about IRR? IRR for project A , IRR for project B PI? PI for project A , PI for project B Final decision Overall which project will you choose.