Techniques (HW) Score: 0 of 1 pt 8 of 8 (4 complete) HW Score: 45%, 3.6 of 8 pt P10-26 (similar to) Question Help Integrative-Multiple IRRs Froogle Enterprises is evaluating an unusual investment project. What makes the project unusual is the stream of cash inflows and outflows shown in the following table: a. Why is it difficult to calculate the payback period for this project? b. Calculate the investment's net present value at each of the following discount rates: 0%, 5%, 10%, 15%, 20%, 25%, 30%, 35% c. What does your answer to part b tell you about this project's IRR? d. Should Froogle invest in this project if its cost of capital is 5%? What if the cost of capital is 15%? e. In general, when faced with a project like this, how should a firm decide whether to invest in the project or reject it? a. Why is it difficult to calculate the payback period for this project? (Select the best answer below.) A. The oscillating cash flows make it difficult to compute the payback period. B. It is unreal for a project to have a cash inflow as an initial investment. C. The huge amount of cash outflow in year 3 makes the calculation difficult. D. The short life of the project makes it difficult to compute the payback period. Click to select your answer and then click Check Answer. 12 parts remaining Clear All Final Check of 1 pt 8 of 8 (4 complete) HW Score: 45%, 3.6 of 8 p 6 (similar to) Question Help i ive Multiple IRRs Froogle Enterprises is evaluating an unusual investment project. What makes the project is the stream of cash inflows.and.outflows shown in the following table: 29: is it diff Data Table ulate the 0%, 25%, 5%. t does uld Frog (Click on the icon here in order to copy the contents of the data table below eneral, into a spreadsheet.) reject it? is it diff Year The osa AWNO Cash flow $180,000 - $828,000 $1,423,800 - $1,084,680 $308,880 It is unr The hug The sha Print Done o select your answer and then click Check Answer. parts remaining Clear All Final Check