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Discount rate (DR) Discount Factor (DF) 1.00 0.93 0.87 0.82 3 Total Project A Costs Discounted Costs Benefits Discounted Benefits 0 700,000 $ 700,000 $

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Discount rate (DR) Discount Factor (DF) 1.00 0.93 0.87 0.82 3 Total Project A Costs Discounted Costs Benefits Discounted Benefits 0 700,000 $ 700,000 $ $ $ $ $ Year (time) 1 2 1,500,000 $ 500,000 $ 1,401,869 436,719 $ 530,000 $ 1,700,000 $ 495,327S 1.484,846 $ 505,000 412,230 1,600,000 1,306,077 - -S (200,000) (905,542 1,048,126 893,846 Total Dics Benefits - Disc Costs Cumulative Disc Benefits. Disc Costs Projects Costs Discounted Costs Benefits Discounted Benefits $ $ 580,000 380,000 IS 1 $ 1,500,000 1.401,869S 400,000 373,832 215 350,000 $ 305,704 1,500,000 1,310,158 3 350,000 285, 704 1,500,000 1,224,447 $ $ $ Dies Benefits - Disc Costs (580,000) S (1,028,037) $1,004,455 S 938,743 Cumulative Disc Benefits - Disc Costs Based on the number figures above, answer the following questions to get full credit, you need to show and explain your work): 1. What is the NPV for projects A and B? 2. What is the ROI for projects A and B? 3. What is the Payback year for projects A and B? 4. What project would you select, justify your

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