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For the next four questions, use the following information. company is considering a capital investment project that is estimated to have the following after-tax

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For the next four questions, use the following information. company is considering a capital investment project that is estimated to have the following after-tax cash flows: -$70,000 at t=0, $20,000 at t=1, $24,000 at t=2, $30,000 at t=3, and $28,000 at t=4. The appropriate required return is 9%. 38. The PAYBACK PERIOD for the project shown above is: a. 2.20 b. 2.87 c. 3.99 26k d. 3.08 e. 1.41 30k=" =.866 39. For the project shown above, the NET PRESENT VALUE is: a. -$2,026 b. $7,859 c. $4,528 4. $5,913 e. $11,550 40. For the project shown above, the INTERNAL RATE OF RETURN is: a. 6.49% b.14.27% c. 15.84% d. 18.84% M e. 22.09% 42. For the project shown above, the PROFITABILITY INDEX is: a. 0.83 b. 0.17 c. 1.68 d. 1.17 e. 3.10 Prof Future/Inital Invest CF = 81,550/70 K 1.165 . * 50 = 1000 * 5%

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