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please explain how you got answers 13. The payback period The payback method helps firms establish and identify a maximum acceptable payback period that helps

please explain how you got answers
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13. The payback period The payback method helps firms establish and identify a maximum acceptable payback period that helps in their captar budgeting decisions A-Z Consider the case of Blue Hamster Manufacturing Inc. Blue Hamster Manufacturing Inc. is a small firm, and several of its managers are worried about how soon the form wit be able to reme its initial investment from Project Delta's expected future cash flows. To answer this question, Blue Hamster com asked that you compute the project's payback period using the following expected net cash flows and mesuming that the cash flow are received evenly throughout each year, Complete the following table and compute the project's conventional payback period. For full credit, complete the entireta. (Note: Round the conventional payback period to two decimal places. If your answer is negative, be sure to use a minion in your answer) Year 1 Year o -56,000,000 Year 2 55,100,000 Year 32.100,000 12,400,000 Expected cash now Cumulative cash flow Conventional payback period years The conventional payback period ignores the time value of money, and this concerne le CRO, How and you to raming the company has a 10% cost of capital. Complete the following table and perform your The conventional payback period ignores the time value of money, and this concerns Blue Hamster's CFO. He has now asked you to compute Detal discounted payback period, assuming the company has 10% cost of capital. Complete the following table and perform any necessary tatovation Round the discounted cash flow values to the nearest whole dollar, and the discounted payback period to two decimal places for credit, complete the entire table. (Note: If your answer is negative, be sure to use a minus sign in your answer.) A-Z Year -$5,000,000 Year 1 52.400.000 Year 2 $5.100.000 Year 32.100,000 Cash flow Discounted cash flow Cumulative discounted cash flow Discounted payback period: S 5 years Wich version of a project payback period should the CFO when evaluating Project Delta given to theoretical superiority The discounted payback period The regular payback period One theoretical disadvantage of both payback methods-compared to the net present value method that they fail to consider the war the nows beyond the point in time equal to the payback period How much value in this example does the discounted wyback period method for tortor > O $1.974,455 35.793,637 The discounted payback period The regular payback period One theoretical disadvantage of both payback methods--compared to the net present value method-Is that they fail to consider the value of the cash flows beyond the point in time equal to the payback period. How much value in this example does the discounted payback period method fall to recognize due to this theoretical deficiency? O $1,974,455 O $5,792,637 0 $3,759,579 $1,577,761 Save & Continue Continue without saving namnr Pro

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