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Manana Inc. is considering two murally exclusive projects A and B The initial investment and the estimates of the samleves and costs associated with each

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Manana Inc. is considering two murally exclusive projects A and B The initial investment and the estimates of the samleves and costs associated with each project presented in the below table. The economic life of the project will be 5 Year's period, and the projects Cry same is Maana wies discount vite of 12 Afle considering the current economic situation Manam ole set maximum payback period of 4 years wd minimum return on investment (ROI) 18% Projects Project 195.000 357.000 Initiatives Cost of equipment (pero salvage wale Annual and costs Sales reventies Variable expenses Depreciation expete Fixed out of pocket operating costs 310000 126.000 000 36.000 525.000 233.000 91.000 16.000 To determine the printedesco factoring the tablesed Required 1. Calculate the payback period for each project 2. Calculate the net presentate for each project 3. Calculate the simple rate of return for each product 4. Which of the projects if it would you comed that Me accept? Why? EXHIBIT 14B-1 Present Value of Si: Table Summary: Table of present values of S1. Periods are listed in first column: 1-30 and 40. Columns are given for percents from 4 percent to 25 percent. Periods 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20% 21% 22% 23% 24% 25% 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.901 0.893 0.885 0.877 0.870 0.8620.853 0.8470,840 0.833 0.826 0.820 0.813 0.806 0.800 0.925 0.9070.890 0.873 0.8570.842 0.826 0.8120.7970,783 0.7690.756 0.7430.7310.7180.7060.6940.6830.6720,661 0.650 0.640 3 0.889 0,864 0.840 0.816 0.7940.772 0.751 0.731 0.7120.693 0.675 0,658 0.641 0.624 0609 0.593 0.5790 564 0.551 0.5370.524 0 512 0.855 0.823 0.792 0.763 0,735 0.708 0.683 0.659 0.636 0.613 0.592 0.3720.5520.534 0.516 0.499 0.482 04670,451 0.437 0.423 0.410 0.822 0.784 0.747 0.713 0.681 0.650 0.621 0.5930.5670.543 0,5190.497 0.4760,4560.437 0.4190.4020.386 0.370 0.355.0.341 0.328 0.790 0.746 0.705 0.6660.630 0.596 0.564 0.335 0.507 0.480 0.456 0.432 0.4100.3900 3700.352 0.335 0.3190 303 0.289 0.275 0.262 0.760 0,711 0.665 0.623 0.5830.547 0,513 0.482 0.452 0.425 0.400 0.376 0.354 0.333 0.3140.2960 279 0.263 0249 0 235 0.222 0.210 8 0.7310.6770.6270.5520.540 0.502 0.467 0.434 0.404 0.376 0351 0.327 0.305 0.285 0.266 0.2490 233 0.218 0 2040. 1910.1790,168 9 0.703 0.64 0.592 05440.500 0.460 0.434 0.391 0.361 0,333 0.308 0.284 0.263 0243 0.325 0.209 0.194 0.150 0.1670.155 0.144 0.134 1006760,614 0.558 0.50 0.463 0.4220.38603520,322 0.295 0.270 0.247 0.227 0 208 0.1910.176 0,162.0.149 0.1370.126 0.116 0.107 4 S 6 7 EXHIBIT 14B-2 Present Value of an Annuity of S1 in Arrears; Table Summary: Table of present values of an annuity of S1 in arrears. Periods are listed in first colum: 1-30 and 40. Columns are given for percents from 4 percent to 25 percent. Periods 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% 16% 17% 18% 19% 20% 21% 22% 23% 24% 25% 1 0.962 0.952 0.943 0.935 0.926 0.917 0.909 0.901 0.893 0.885 0.8770.870 0.862 0.855 0.847 0.840 0.833 0.826 0.8200.813 0.806 0.800 2 1.886 1.859 1.833 1.808 1.783 1.759 1.736 1.713 1.690 1668 1.647 1.626 1.605 1.585 1.566 1.547.1.528 1.509 1.492 1,474 1.457 1.440 3 2.775 2.723 2.673 2,624 2.577 2.531 2.487 2.444 2.402 2.361 2,322 2 283 2.246 2.210 2.174 2.140 2.106 2.074 2:042 2.011 1.981 1952 4 3.630 3.546 3,465 3.387 3.312 3.240 3.170 3.102 3.037 2974 2.914 2.855 2.798 2.743 2.6902 639 2.589 2 540 3.494 2.448 2.404 2.362 5 4.452 4.329 4.212 4.100 3.993 3.890 3.791 3.696 3.605 3.5173.43333523 274 3.1993.127 3.058 2.991 2.9262.864 2.803 2.745 2.689 6 3.242 5.076 4.917 4.767 4.623 4.486 4.355 4 231 4.111 3.998 3.889 3.784 3.685 3.589 3.498 3.410 3.326 3245 3.167 3.092 3020 2951 7 6.002 5.786 5.582 5.389 5.206 5,033 4.868 4.712 4.564 4.423 4288 4.160 4,039 3.92338123.706 3.605 3.508 3.416 327 3.2423.161 8 6.733 6.463 6,210 5.971 3.747 5.535 5.335 3.146 4 968 4.799 4.639 4.487 4 344 4.207 4078 3.9543.8373.726 3.619 3.518 3.4213.339 9 7,435 7.108 6.802 6.515 6.347 5.995 5.759 5 5375 328 5.132 4 946 4.7724.6074451 4 303 4.163 4,031 3.905 3.786 3.673 3.566 3.463 10 8.111 7.722 7360 7.024 6.710 6.418 6.145 5.889 5.650 5.426 5 216 5,019 4.833 4659 4494 4339 4 1924.054 3.9233.799 3.682 3.571

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