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Plz solve this Assignment 3. The initial outlay or cost for a four year project is $1,000,000. The respective cash inflows for years 1,2,3 and

image text in transcribedPlz solve this Assignment

3. The initial outlay or cost for a four year project is $1,000,000. The respective cash inflows for years 1,2,3 and 4 are: $500,000 $300,000 $300,000 and $300,000. What is the discounted payback period if the discount rate is 10%? 4. XYZ co is considering two projects A and B as the following table and it uses the NPV method at a discount rate of 7.5% Which project should be accepted and why? Year Cash flows Project A Cash flows Project B 10 - 1700005 - 1500005 1 90000 66000 2 50000 55000 3 100000 90000

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