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How did they get -0.94 and -0.93? 2. The cash flows of projects A and B are given below: Cash flows DCF Year Project A
How did they get -0.94 and -0.93?
2. The cash flows of projects A and B are given below: Cash flows DCF Year Project A A B 0 -1500 -1500 -1500 -1500 -1,500 400 1 Project B -1,500 500 500 500 500 -1142.86 446.4286 -1053.57 2 357.1429 239.1582 427.0681 508.4145 300 600 800 3 -903.699 398.5969 -654.974 -476.631 355.8901 -299.084 31.78363 317.759 18.67467 4 -0.93748 -0.94123 For a 12% discount rate, as compared to project B, the discounted payback period of project A is approximately: A) equivalentStep by Step Solution
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