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FinXpert Inc. is considering the following two projects. The projects (which have unequal lives) are mutually exclusive (at most, you can only select one) The

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FinXpert Inc. is considering the following two projects. The projects (which have unequal lives) are mutually exclusive (at most, you can only select one) The company uses a 13% required rate of retum to evaluate capital expenditure projects. Calculate the missing values in the below and then answer the questions that follow. Year Project-A - 100,000 50,000 40,000 15,000 50,000 Project-B -115,000 45,000 25,000 30,000 25,000 45,000 6,000 13% Discount Rate NPV IRR Profitability Index Payback Equiv Annual Annuity 07. If we were using IRR to make our decision, which project would be selected A Project A: IRR - 16.25% B. Project A: IRR = 14 93% C Project B: IRR = 14.78% D. Proiect BIRR = 15.87% 98. If we were using Profitability Index (PI), which project would be selected? A Project AP1.355 B. Proiect APL = 1.056 C. Proiect BP = 1065 D. Proiect BP 1.043 99. if we were using Payback (PB) method, which project would be selected? A Project A PD - 4 2 years B Project A: PB = 37 years C. Proiect B: PB = 3 1 years D Project B: PB - 36 years 100. Because the projects have unequal lives, we know that the Equivalent Annual Annuity (EAA) method should be used to make the correct decision. We could use replacement chains, but we know that would be way too much work! Based on EAA, which project should be selectext? A Project A FAA = $1,304 B Project A: EAA 31,507 C Proiect - EAA $1,464 D. Project B. EMA = $1,407 FinXpert Inc. is considering the following two projects. The projects (which have unequal lives) are mutually exclusive (at most, you can only select one) The company uses a 13% required rate of retum to evaluate capital expenditure projects. Calculate the missing values in the below and then answer the questions that follow. Year Project-A - 100,000 50,000 40,000 15,000 50,000 Project-B -115,000 45,000 25,000 30,000 25,000 45,000 6,000 13% Discount Rate NPV IRR Profitability Index Payback Equiv Annual Annuity 07. If we were using IRR to make our decision, which project would be selected A Project A: IRR - 16.25% B. Project A: IRR = 14 93% C Project B: IRR = 14.78% D. Proiect BIRR = 15.87% 98. If we were using Profitability Index (PI), which project would be selected? A Project AP1.355 B. Proiect APL = 1.056 C. Proiect BP = 1065 D. Proiect BP 1.043 99. if we were using Payback (PB) method, which project would be selected? A Project A PD - 4 2 years B Project A: PB = 37 years C. Proiect B: PB = 3 1 years D Project B: PB - 36 years 100. Because the projects have unequal lives, we know that the Equivalent Annual Annuity (EAA) method should be used to make the correct decision. We could use replacement chains, but we know that would be way too much work! Based on EAA, which project should be selectext? A Project A FAA = $1,304 B Project A: EAA 31,507 C Proiect - EAA $1,464 D. Project B. EMA = $1,407

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