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i need help Andrews Construction is analyzing its capital expenditure proposals for the purchase of equipment in the coming year. The capital budget is limited

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Andrews Construction is analyzing its capital expenditure proposals for the purchase of equipment in the coming year. The capital budget is limited to $5,000,000 for the year. Lori Bart, staff analyst at Andrews, la preparing an an three projects under consideration by Corey Andrews, the company's owner TE Click the icon to the data for the three projects) Pretty 51 Estre ble B u ty of the Read the requirements Requirement 1. Because the company's cash is limited, Andrews think the payback method should be used to choose between the capital budgeting projects What are the benets and limitations of using the payback method to choose between project? Benefits of the paybackthod OA Utes the time value of money and computes each project's unique rate of retum OB. Indicates whether or not the project leam the company's minimum required to retum OC. Ewy to understand and captures uncertainty about expected cash flows in years of a project D. All of the above O A Carnot be used when management's required rate of retum varies from one period to the next OC. Carnot be used for projects we neque periodic cash flows of the above C e paya pened for each of the tree projects are income taxes. Round you to two decimal places Propeta mars Enter any number on eat holds and then conthus to the next question, man in the coming The 15.000.000 for the year Lor Bar a t Andrews is prepara t e Andrews Construction is in capital expenditure proposal for the purchase of the projects under consideration by Corey Andr e company's Present a ble Fre e Future we nuity of Stable Present Read the requirements Prod B 225 years C Using the pack method, which Requirement. Ca t e The P A should Andrews choose? P orech projecte income 065 Round your them The NPV 40 The NPV 1 Requirements which project 00 any, would you recommend funding Bryspin why als for the purchase of equipment in the coming year. The capital budget is limited to $5,000,000 for the year. Lori Bart, ny's owner. Future Value of $1 table Future Value of Annuity of $1 table Data Table thinks the pay thod to choose Project A Project B Project C Projected cash outflow Net initial investment $3,000,000 $ 1,500,000 $ 4,000,000 's minimum req cted cash flows ect's unique rate Projected cash inflows Year 1 $ Year 2 1,000,000 $ 1,000,000 1,000,000 1,000,000 400,000 $ 2,000,000 900,000 2,000,000 800,000 200,000 100,000 Year 3 Year 4 urn varies from consider a prop Ows Required rate of return 10% more income tax Print Done next

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