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If anyone can help me out and show the work. Please and thank you. Problem 24-1A Henkel Company is considering three long-term capital investment proposals.
If anyone can help me out and show the work. Please and thank you.
Problem 24-1A Henkel Company is considering three long-term capital investment proposals. Each investment has a useful life of 5 years. Relevant data on each project are as follows Project Lima Project Kilo $167,400 Project Oscar $206,700 Capital investment Annual net income: $178,200 14,040 14,040 14,040 14,040 14,040 $70,200 18,900 17,820 16,740 12,420 9,180 $75,060 Year 1 29,700 24,300 23,220 14,580 13,500 $105,300 2 4 Total Depreciation is computed by the straight-line method with no salvage value. The company's cost of capital is 15%. (Assume that cash flows occur evenly throughout the year.) iew the factor table (For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Compute the cash payback period for each project. (Round answers to 2 decimal places, e.g. 10.50.) Project Kilo Project Lima Project Oscar ears ears ears Compute the net present value for each project. (Round answers to 0 decimal places, e.g. 125. If the net present value is negative, use either a negative sign preceding the number eg -45 or parentheses eg (45).) Project Kilo Project Lima Project Oscar Net present value Compute the annual rate of return for each project. (Hint: Use average annual net income in your computation.) (Round answers to 2 decimal places, e.g. 10.50.) Project Kilo Project Lima Project Oscar Annual rate of returnStep by Step Solution
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