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Our Complution Status Path 25 po QUESTION 23 RAK Materials, Inc. is considering we mutually exclusive projects, each with an initial investment of $250.000. The

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Our Complution Status Path 25 po QUESTION 23 RAK Materials, Inc. is considering we mutually exclusive projects, each with an initial investment of $250.000. The company's brand of directors set a maximum 3-year payback requirement. The cost of capital is 10 The cash inflows associed with the two projects are shown in the following ble Years Cash Inflow Project A Project B 60,000 45,000 1 2 55.000 60,000 75.000 3 65.000 4 75.000 60,000 60,000 60,000 85.000 6 95.000 Click Save and Submit to save and submit. Click Save All Answers to save all answers. Save All Answers Close MacBook Pro % 5 E o 6 7 V 60.000 95.000 a. Calculate the payback period for each project. (5 marks) c. Calculate the NPV of each project. (5 marks) d. Derive the IRR of each project. (5 marks) e. Calculate the profitability index of each project. (5 marks) f. Rank the projects by each of the techniques used. Make and justify a recommendation, (5 marks) Arial 3 (12pt) T Click Save and Submit to save and submit. Click Save All Answers to save all answers

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