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Please show process of these 3. 11. (lgnore income taxes in this problem.) The Zinger Company is considering an investment that has the following data:
Please show process of these 3.
11. (lgnore income taxes in this problem.) The Zinger Company is considering an investment that has the following data: Yegr 58,000 53,000 52,000 $2,000 $5,000 4,000 4,000 Cash infiow The payback period for this investment is: A 3.0 years. B 35 years. C)40 years. D 45 years. Answer. B The Deta Company is analyzing projects x, Y, and Z as possible investment opportunities. Each of these projects has a useful life of six years. The following information has been obtained: Initial investment needed Present value of future cash inflows Internal rate of return ProjectX Project Y Project Z 5260,000 5180,000 5340,000 5295,000 5220,000 5390,000 1696 15% 12. Which of the following statements is correct? A Project x is preferred over Project Y according to the profitability index. B) Project Y is preferred over Project Z according to an internal rate of return ranking. C) Project Z is preferred over Project X according to a net present value ranking. D) Project x is preferred over Project Z according to the profitability index. Answer c 13. Which project has the highest ranking according to the net present value and the profitability index Net Present Value Profitability Index A) z B) Y D) Z Answer. DStep by Step Solution
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