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Project Alpha is expected to cost $5,000 and will bring in revenue of $1,000 per year. Project Beta is expected to cost $8,000 and will

  1. Project Alpha is expected to cost $5,000 and will bring in revenue of $1,000 per year. Project Beta is expected to cost $8,000 and will bring in revenue of $2,000 per year.

  1. What is the payback period for Project Alpha? (2 points)

  1. What is the payback period for Project Beta? (2 points)

  1. Which project should you choose all else being equal and why? (3 points)

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