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PROBLEMS 1. Two new Internet site projects are proposed to a young start // up company. Project A will cost $250,000 to implement and is
PROBLEMS 1. Two new Internet site projects are proposed to a young start // up company. Project A will cost $250,000 to implement and is expected to have annual net cash flows of $75,000. Project B will cost $150,000 to implement and should generate annual net cash flows of $52.000. The company is very concerned about their cash flow. Using the payback period, which project is better, from a cash flow standpoint? 2. Sean, a new graduate at a telecommunications firm, faces
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