The payback method helps firms establish and identify a maximum acceptable payback period that helps in their capital budgeting decisions. Consider the case of Cold Goose Metal Works inc:: Cold Goose Metal Works inc, is a small firm, and several of its managers are worried about how soon the firm will be able to recover its Initial investment from Project Sigma's expected future cash flows. To answer this question, Cold Goose's CFO has asked that you compute the project's payback period using the following expected net cash flows and assuming that the cash flows are received evenly throughout each year. Complete the following table and compute the project's conventional payback period. For full credit, complete the entire table. (Note: Round the conventional payback period to two decimal places. If your answer is negative, be sure to use a minus sign in your answer.) The conventional paybeck period ignores the time value of money, and this concerns Cold Goose's CFO. He has now asked you to compute Sigma's discounted payback period, assuming the company has a 10% cost of capital. Complete the following table and perform any necessary calculations. Round the discounted cash fiow values to the neerest whole dollar, and the discounted payback period to two decimal places. For fuil credit, complete the entire table. (Note: If your answer is negative, be sure to use a minus sign in your answer.) The payback method helps firms establish and identify a maximum acceptable payback period that helps in their capital budgeting decisions. Consider the case of Cold Goose Metal Works inc:: Cold Goose Metal Works inc, is a small firm, and several of its managers are worried about how soon the firm will be able to recover its Initial investment from Project Sigma's expected future cash flows. To answer this question, Cold Goose's CFO has asked that you compute the project's payback period using the following expected net cash flows and assuming that the cash flows are received evenly throughout each year. Complete the following table and compute the project's conventional payback period. For full credit, complete the entire table. (Note: Round the conventional payback period to two decimal places. If your answer is negative, be sure to use a minus sign in your answer.) The conventional paybeck period ignores the time value of money, and this concerns Cold Goose's CFO. He has now asked you to compute Sigma's discounted payback period, assuming the company has a 10% cost of capital. Complete the following table and perform any necessary calculations. Round the discounted cash fiow values to the neerest whole dollar, and the discounted payback period to two decimal places. For fuil credit, complete the entire table. (Note: If your answer is negative, be sure to use a minus sign in your answer.) the entire table. (Note: If your answer is negative, be sure to use a minus sign in your answer.) Whith version of a projects payback period should the CFO use when evatuating Project Sigma, given its theoretical superiority? The regular payback period The disceunted payback period One theoretical disadvantege of both payback methods-compared to the net present value method-is that they fall to contider the value of the cash fows beyond the point in time equal to the payback period. How much value in this cxample does the discounted paybsck period method fail to recognize due to this theoretical deficiency? 11,645,380 31,314,501 34,827,198 63,132,963