management accounting

PE 27-2B Cash payback period A project has estimated annual net cash flows of $114,000. It is estimated to cost obj. 2 $706,800. Determine the cash payback period. Round to one decimal place. T PE 27-38 A project has estimated annual net cash flows of $82,000 for five years and is estimated Net present value to cost $259,000. Assume a minimum acceptable rate of return of 12%. Using Exhibit 2, obj. 2 determine (1) the net present value of the project and (2) the present value index, EE 27-3 p. 1291 rounded to two decimal places. PE 27-5A Project 1 requires an original investment of $10,000. The project will yield cash flows Net present value- of $3,090 per year for seven years. Project 2 has a calculated net present value of $2,500 unequal lives over a four-year life. Project I could be sold at the end of four years for a price of $9,000. obj. 3 (a) Determine the net present value of Project 1 over a four-year life with residual value, EE 27-5 p. 1298 assuming a minimum rate of return of 20". (b) Which project provides the greater net present value? Focus