Data for Project E: Initial Investment = PHP 10,000: Cash flow for Year 1= PHP 2,000 ; Cash flow for Year 2 - PHP 3,000, Cash flow tor Year a = PHP 4,000; Cash flow for Year 4 = PHP 5,000 : Cash flow for Year 5 - PHP. 6,000. The cost of capital is 10.50. Calculate the discounted payback period. 2.50 yean 920 yeas dasivean The following are the available projects (amounts are in PHP millions) for a firm: The firm has only PHP 20 million to invest. What is the maximum NPV that the company can obtain? PHP 3.5 milion PHP 4.0 million PHP 4.5 million PHP 5.0 million Question 58 The IRR is defined as the difference between the cost of capital and the present value of the cash flows. the discount rate that makes a project's NPV equal to zero. the discount rate used in the discounted payback period method. the discount rate used in the NPV method. Question 56 Given: Cash flows for Project H are C0= PHP 1.000; C1= PHP 600; C2= PHP 400 ; and C3= PHP 1.500. Calculate the payback period. Orve year Two veacs Three vears Fout years If the NPV of Project F is PHP 100 and that of Project G is PHP 60, then the net present value of the combined projects is: PHP 60 PHe. 100 PHP 180 PHP 6.000 Data for Project E: Initlal Investment - PHP 10,000; Cash flow for Year 1 = PHP 2,000; Cash flow for Year 2 - PHP 3,000; Cash flow for Year 3 - PHP 4,000; Cash flow for Year 4 - PHP 5,000 ; Cash flow for Year 5 - PHP 6.000. The cost of capital is 1050 . Calculate the discounted payback period. 2.50 years 320 yean 7 ig years More this 5 od yeart A frrm is considering investing in mutually exclusive projects: Project C and Project D. The data for each project is given below: Project C: Initial Irvestment - PHP 100,000; Cash flow for Year 1 - PHP 9.000: Cash flow for Year 2= PHP 20,000, Cash flow for Year 3 - PHP 40.000 : Cash flaw for Year A = PHP 70,000, Cash fow for Year 5 = PHP 60,000 . Project D: Initial Inyestment = PHP 100,000 ; Cash flow for Year 1 = PHP 5.000; Cach flow for Year 2 = PHP 40,000; Cash fow for Year 3 - PHP 50,000; Cash flow for Year 4 - PHP 85,000, Cash flow for Year 5 - PHP 50.000. The cost of capital is 8.25%. Based on the net pensent value (NPV). which projectis) should be accepted? Mroject C Propect 0 Preinet Cand Proket D Necther Project C nor Pvoject D The market values of a frm's balance sheet accounts are as follows: assets = PHP 10,000,000; long-term debt - PHP 2,800,000; Dreferred stock = PHP 3,400.000; and common equity = PHP 3,800,000. The before-tax cost of long-term debt =12, the cost of preferred stock = 14%, and the cost of common equity = 23%. The tax rate is 35%. Find the weighted average cost of capital (WACC). \begin{tabular}{|l} \hline 10.99x \\ \hline 14.93x \\ 15.60x \\ 16.86x \\ \hline \end{tabular} Data for Project E: Initial Investment = PHP 10,000: Cash flow for Year 1= PHP 2,000 ; Cash flow for Year 2 - PHP 3,000, Cash flow tor Year a = PHP 4,000; Cash flow for Year 4 = PHP 5,000 : Cash flow for Year 5 - PHP. 6,000. The cost of capital is 10.50. Calculate the discounted payback period. 2.50 yean 920 yeas dasivean The following are the available projects (amounts are in PHP millions) for a firm: The firm has only PHP 20 million to invest. What is the maximum NPV that the company can obtain? PHP 3.5 milion PHP 4.0 million PHP 4.5 million PHP 5.0 million Question 58 The IRR is defined as the difference between the cost of capital and the present value of the cash flows. the discount rate that makes a project's NPV equal to zero. the discount rate used in the discounted payback period method. the discount rate used in the NPV method. Question 56 Given: Cash flows for Project H are C0= PHP 1.000; C1= PHP 600; C2= PHP 400 ; and C3= PHP 1.500. Calculate the payback period. Orve year Two veacs Three vears Fout years If the NPV of Project F is PHP 100 and that of Project G is PHP 60, then the net present value of the combined projects is: PHP 60 PHe. 100 PHP 180 PHP 6.000 Data for Project E: Initlal Investment - PHP 10,000; Cash flow for Year 1 = PHP 2,000; Cash flow for Year 2 - PHP 3,000; Cash flow for Year 3 - PHP 4,000; Cash flow for Year 4 - PHP 5,000 ; Cash flow for Year 5 - PHP 6.000. The cost of capital is 1050 . Calculate the discounted payback period. 2.50 years 320 yean 7 ig years More this 5 od yeart A frrm is considering investing in mutually exclusive projects: Project C and Project D. The data for each project is given below: Project C: Initial Irvestment - PHP 100,000; Cash flow for Year 1 - PHP 9.000: Cash flow for Year 2= PHP 20,000, Cash flow for Year 3 - PHP 40.000 : Cash flaw for Year A = PHP 70,000, Cash fow for Year 5 = PHP 60,000 . Project D: Initial Inyestment = PHP 100,000 ; Cash flow for Year 1 = PHP 5.000; Cach flow for Year 2 = PHP 40,000; Cash fow for Year 3 - PHP 50,000; Cash flow for Year 4 - PHP 85,000, Cash flow for Year 5 - PHP 50.000. The cost of capital is 8.25%. Based on the net pensent value (NPV). which projectis) should be accepted? Mroject C Propect 0 Preinet Cand Proket D Necther Project C nor Pvoject D The market values of a frm's balance sheet accounts are as follows: assets = PHP 10,000,000; long-term debt - PHP 2,800,000; Dreferred stock = PHP 3,400.000; and common equity = PHP 3,800,000. The before-tax cost of long-term debt =12, the cost of preferred stock = 14%, and the cost of common equity = 23%. The tax rate is 35%. Find the weighted average cost of capital (WACC). \begin{tabular}{|l} \hline 10.99x \\ \hline 14.93x \\ 15.60x \\ 16.86x \\ \hline \end{tabular}