Question
Question 01: Medi Metro organization is the greatest organization in the shoe fabricating industry. The CEO of Medi Merto needs to invest in three undertakings.
Question 01:
Medi Metro organization is the greatest organization in the shoe fabricating industry. The CEO of Medi Merto needs to invest in three undertakings. Project A, Project B, and Project C. Project A discount rate is 13%, Project B discount rate is 11%, and Project C discount rate is 9%. The Projects have the following net Cash Flow. Choose which of them ought to be worthy of utilizing the NPV, and PI techniques and why.
Projects have the following net cash flows.
PROJECT A | YEAR | PROJECT B | YEAR | PROJECT C | |
0 | (100,000) | 0 | (150,000) | (200,000) | |
For 4 years | 5,000 monthly | For 1 year | 8,750 quartarly | For 1 year | 137 daily |
For 2 year | 22,500 semiannually | 2 | 60,000 | ||
For 3 year | 4583 monthly | 3 | 247 daily | ||
4 | 77,000 | 4 | 42,000 | ||
5 | 15,000 | 5 | 1000 monthly |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started