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NEEDS TO BE DONE IN EXCEL! You are reviewing a new project and have estimated the following cash flows: Year 0 : C F =

NEEDS TO BE DONE IN EXCEL!
You are reviewing a new project and have estimated the following cash flows:
Year 0: CF=-165,000
Year 1: CF=63,120;NI=13,620
Year 2: CF=70,800;NI=3,300
Year 3: CF=91,080;NI=29,100
Average Book Value =72,000
Your required return for assets of this risk level is 12%. The company will accept a project that is paid off within 3 years.
Should we adopt this new project? Please make your decision based on each decision rule (NPV, IRR, payback period, average account return and profitability index) and explain why. If your decision based on different different decision rule is conflict with each other, what is your final decision?
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