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HTM 241Name:EX12-2: Evaluating projects with NPV Project AProject BCF0 ($27,000)($25,000) CF1 $10,000$10,000 CF2 10,0009,000 CF3 10,00010,000 CF4 10,0008,000 a. Calculate the NPV of the two

HTM 241Name:EX12-2: Evaluating projects with NPV

Project AProject BCF0($27,000)($25,000)CF1$10,000$10,000CF210,0009,000CF310,00010,000CF410,0008,000 a. Calculate the NPV of the two projects.

Which project you should choose based on NPV?

b. Calculate the IRR of the two projects. Which project you should choose based on IRR?

c. Calculate the two projects' payback period. Which project you should choose based on the payback period?

d. Calculate the ROI of the two projects. Which project you should choose based on ROI?

(Excel)

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