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Here are the expected cash flows for three projects: Cash Flows (dollars) ProjectYear: 0 1 2 3 4 A 6,200 +1,300 +1,300 +3,600 0 B
Here are the expected cash flows for three projects:
Cash Flows (dollars)
ProjectYear: 0 1 2 3 4
A 6,200 +1,300 +1,300 +3,600 0
B 2,200 0 +2,200 +2,600 +3,600
C 6,200 +1,300 +1,300 +3,600 +5,600
What is the payback period on each of the projects? |
Project | Payback period |
A | _____ years |
B | _____ years |
C | _____ years |
If the opportunity cost of capital is 10%, calculate the NPV for projects A, B, and C. |
Project | NPV |
A | ____$ |
B | ____$ |
C | ____$ |
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