P11-24 (similar to) Question Help (Payback period, net present value, profitability index, and internal rate of return calculations) You are considering a project with an intial cash outlay of $77,000 and expected cash flows of $21,560 at the end of each year for six years. The discount rate for this project is 99 percent a. What are the project's payback and discounted payback periods? b. What is the project's NPV? c. What is the project's Pl? d. What is the project's IRR? (Related to Checkpoint 11.2) (Calculating EAC) Barry Boswell is a financial analyst for Dossman Metal Works, Inc and he is analyzing two alternative configurations for the firm's new plasma cutter shop. The two alternatives denoted A and B below, will perform the same task, but alternative A will cost $85,000 to purchase, while alternative B will cost only $55,000. Moreover, the two alternatives will have very different cash flows and useful lives. The after-tax costs for the two projects are as follows: a. Calculate each project's EAC, given a discount rate of 10 percent b. Which of the alternatives do you think Barry should select? Why? a. Alternative A'S EAC at a discount rate of 10% is (Round to the nearest cent.) Data Table Year Alternative A $185.000) (18,000) (18 000) (18,000) (18,000) (18000) (18,000) (18.000) Alternative B $(55,000) (6,500) (6,500) (6.500) Print Done