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Problem 4: You are given a project with the cash flow table. The annual discount rate is 10%. Please answer the following questions. Please have
Problem 4: You are given a project with the cash flow table. The annual discount rate is 10%. Please answer the following questions. Please have your calculations organized. If possible, put them in a table. 0 1 2 3 4 5 year costs benefits (saving) -9000 0 0 0 -1000 2400 0 4800 0 4800 4800 4800 0 4 Year Costs(investment) benefits (saving) 1 -5,000 0 -5,000 0 2 -1,000 3,000 3 -500 5,000 -500 5 -1,000 4,000 5,000 a) Calculate Net Present Value (NPV) for both projects (10 points) b) Calculate Return on Investment (ROI) Value for both projects (5 pts) c) In how many years does these projects will pay back? How do you calculate that? (5 pts)
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