Eddie Corporation is considering the following three investment projects (Ignore income taxes.): Investment required Present value of cash inflows Project C Project D Project E $72,000 $82,000 $170,000 $79,920 $95,120 $185,300 Rank the projects according to the profitability index, from most profitable to least profitable. Denny Corporation is considering replacing a technologically obsolete machine with a new state-of-the-art numerically controlled machine. The new machine would cost $300,000 and would have a fifteen-year useful life. Unfortunately, the new machine would have no salvage value. The new machine would cost 550,000 per year to operate and maintain, but would save $91,000 per year in labor and other costs. The old machine can be sold now for scrap for $30,000. The simple rate of return on the new machine is closest to (Ignore income taxes.) (Round your answer to 1 decimal place.) Multiple Choice 30.33% 700% 15.56% o o o 7789 Olinick Corporation is considering a project that would require an investment of $3:49,000 and would last for years. The incremental annual revenues and expenses generated by the project during those 8 years would be as follows Ignore Income taxes. $220, 80e 21,00 199,000 Sales Variable expenses Contribution margin Fixed expenses: Salaries Rents Depreciation Total fixed expenses Net operating income 39, POR 52,000 47,000 138, 80e $ 61,800 The scrap value of the project's assets at the end of the project would be 529,000. The cash inflows occur evenly throughout the year. The payback period of the project is closest to: (Round your answer to 1 decimal place.) Multiple Choice 5.7 years 3.2 years o o o o 29 years 4.0 years