QUESTION 28 Beduin Services is considering an investment of $25,000. Data related to the investment are as follows: 1 3 Year Cash Flow $10,000 2 11,000 8,000 15,000 15,000 Cost of capital is 14%. What is the payback period in years, assuming to taxes are paid? (Round to two decimal places a. 3.00 years Ob 2.50 years O c. 4.00 years Od.2.12 years YA 5 QUESTION 29 Five mutually exclusive projects had the following information: im NPV IRR A $200 11% B $400 1396 $2,000 10% D $1,000 12% E S(400) 8% Which project is preferred? a. Project A O b. Project C c. Project B d. Project D QUESTION 30 Which of the following statements is true about a positive net present value? a. It measures the rate at which the discount rate has decreased b. It indicates that the cost of capital is less than the hurdle rate. O c It indicates that an investment is not profitable and hence should be rejected. d. It measures the increase in the value of a firm resulting from an investment