Question 3 Partially correct Mark 1.04 out of 2.50 Flag question O Edit question Ranking Investment Proposals: Payback Period, Accounting Rate of Return, and Net Present Value Presented is information pertaining to the cash flows of three mutually exclusive investment proposals: Proposal X Proposal Y Proposal Z Initial investment $52.000 $52.000 $52.000 Cash flow from operations Year 1 50.000 26.000 52.000 Year 2 2.000 26,000 Year 3 27,000 27,000 Disinvestment 0 0 Life (years) 3 years 3 years 1 year Select the best investment proposal using the payback period, the accounting rate of return on initial investment, and the net present value criteria. Assume that the organization's cost of capital is 10 percent Note: Follow rounding instructions noted for each computation. Use a negative sign with your answers, when appropriate. Proposal Proposal Proposal z Best proposal Payback period (years) 2 2 1z Accounting rate of return; Round answers to 4 decimal places 34.61 x 34.61 x 100 % Z Net present value; Round answers to nearest whole number. ; 15,379 X 13,227 X (4.732) X X Previous Next