Part B Enterprise Car is considering a project that has the following cash flow and WACC data. What is the project's discounted payback? WACC: 10% Year: Cash flows: 0 -$1.000 1 $500 2 $500 3 $500 Saunders Associates is considering a project that has the following cash flow data. What is the project's payback? Year: Cash flows: 0 $1.000 1 $300 3 $320 4 $330 5 $340 $310 PPL Electric Systems is considering a project that has the following cash flow and WACC data. What is the project's NPV? Note that a project's projected NPV can be negative, in which case it will be rejected. WACC = 10% Year Cash flows: 0 -$1.000 1 $400 2 $395 3 $390 4 $385 S $380 Steel Fitness Inc. is considering a project that has the following cash flow and WACC data. What is the project's MIRR? Note that a project's projected MIRR can be less than the WACC (and even negative), in which case it will be rejected. WACC - 10% Year Cash flows: 1 0 -$900 $300 $320 3 $340 4 $360 Last month, Air Products Inc. decided to accept the project whose cash flows are shown below. However, before actually starting the project, the Federal Reserve took actions that changed interest rates and Air Products' WACC. By how much did the change in the WACC affect the project's forecasted NPV? Assume that the Fed action will not affect the cash flows, and note that a project's projected NPV can be negative, in which case it should be rejected. Old WACC = 10% New WACC= 5% Year 0 1 2 3 Cash flows: $1.000 $500 $500 $500