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I need the correct answer for part a and b please Doug's Custom Construction Company is considering three new projects, each requiring an equipment investment
I need the correct answer for part a and b please
Doug's Custom Construction Company is considering three new projects, each requiring an equipment investment of $25,520. Each profect with tast for 3 yeirs and produce the following net annual eash flows. The equipment's salvage value is zero, and Doug uses straight-line depreciation, Doug will not accept any project with a cash payback period over 2 years. Doug's required rate of return is 12%. Click here to view the factor table (a) Coimpute each project's payback period. (Round onswers to 2 decimal places, es, 15.25.) Which is the mast desirable project? The most desiratle project based on payback period is Which is the leait desirable proiect? The least desirable project based on payback period is (b) the foctor table provided) Compute the net present value of each propiect. (Enter negative amounts using either a negotive shan precedirg the number es:-45 or porencheses es. (45) Round final answen to the nearest whole dollac es: 5,275. For caliculation purposes, use 5 decimal ploces as displayed in the foctor table pronided) Which is the moit deirable oroject bused on net present value? The most desirable project based on net prosent value is Which is the leat desirable profect based on net present value? Tha boat docirahle nroiect based on net oresent value is Step by Step Solution
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