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The following table contains information about four projects in which Carlos Corporation has the opportunity to invest. This information is based on estimates that different
The following table contains information about four projects in which Carlos Corporation has the opportunity to invest. This information is based on estimates that different managers have prepared about eir potential project EEB (Click tha icon to view the projocts information. Requirements 1. Rank the four projects in crder of preference by using the b. project prof tabil ity index. o. accounting rate of return. c. intemal rate of return. a. net present value. d. payback period. 2. Which method(s) do you think is best for evaluating capital investment projects in general? Why? Roquiromont 1. Rank the projects in ordor of proference. Net Present Data Table Value 1st preferrod 2nd proforrod 3rd proforrod 4th preferred Investment Net Present Life of Intornal Rate Profitability Payback Poriod Accounting Rate Projoct Required S 215,000 $39,042 5 S415,000 $57,230 6 S 1,040,000 $181,4983 s 1,550,00o $ 22,320 4 ValuoProjoct o ReturnIndax 1.18 1.14 1.17 1.01 21 % 23 % 17% 11 % n Years 2.91 3.07 2.19 3.13 of Roturn 17% 14% 11% 23% Print Done
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