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Quantitative Problem: Bellinger Industries is considering two projects for inclusion in its capital budget and you have been asked to do the analysis. Both projects
Quantitative Problem: Bellinger Industries is considering two projects for inclusion in its capital budget and you have been asked to do the analysis. Both projects after-tax cash flows are shown on the timeline below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all included in these cash flows. Both projects have 4-year lives, and they have risk characteristics similar to the firm's average project. Bellinger's WACC is 8%. 0 2 3 Project 950 600 365 250 300 Projects -950 200 300 400 750 What is Project A's payback? Do not und intermediate calculations, Round your answer to four decimal places Years What is Project As discounted payback? Do not round intermediate calculations, Round your answer to four decimal place years What is Project 's payback? Do not round Intermediate calculations. Round your answer to four decimal places years tory What is Project B's discounted payback? Do not round Intermediate calculations. Round your answer to four decimal places years
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