Question
Given the following after-tax cash flow on a new toy for Tyler's Toys, find the project's payback period, NPV, and IRR. The appropriate discount rate
Given the following after-tax cash flow on a new toy for Tyler's Toys, find the project's payback period, NPV, and IRR. The appropriate discount rate for the project is 10%.if the cutoff period is 6 years for major projects, determine whether management will accept or reject the project under the three different decision models.
outflow;Years one through four cash inflow;Year five cash outflow;Years six through eight cash inflow 10,800,000;2,700,000;1,080,000:499,000
Intial cash outflow:$10,800,000
years one through four cash inflow:2,700,000
Year five cash outflow: $1.080,000
Years six through eight cash inflow:$499,000 each year
What is the payback period for the new toy at Tyler's Toys?
Years and etc.
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