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Requirement 1: Perkins Corporation is considering several investment proposals, as shown below: Investment Proposal A B D Investment required $136,000 $170,000 $102,000 $127,500 Present value

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Requirement 1: Perkins Corporation is considering several investment proposals, as shown below: Investment Proposal A B D Investment required $136,000 $170,000 $102,000 $127,500 Present value of future net cash flows $163, 200 $255,000 $142, 800 $288,060 If the project profitability index is used, the ranking of the projects from most to least profitable would be: Requirement 2: Joetz Corporation has gathered the following data on a proposed investment project (Ignore income taxes.] Investment required in equipment $37,500 Annual cash inflows $ 9,900 Salvage value of equipment Life of the investment 15 years Required rate of return 10% The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. The simple rate of return for the investment (rounded to the nearest tenth of a percent) is: (Round your answer to 1 decimal place.) Requirement 3: Joetz Corporation has gathered the following data on a proposed investment project (Ignore income taxes.): Investment required in equipment $38,500 Annual cash inflows $ 9,490 Salvage value of equipment Life of the investment 15 years Required rate of return 10% The company uses straight-line depreciation on all equipment. Assume cash flows occur uniformly throughout a year except for the initial investment. What is the internal rate of return of the investment? (for req 3)

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