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Use the following information for Questions 10-14. yer Corp. is considering a new inventory system, Project A, that will cost $750,000. The ssem is expected

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Use the following information for Questions 10-14. yer Corp. is considering a new inventory system, Project A, that will cost $750,000. The ssem is expected to generate positive cash flows over the next four years in the amounts of $350,000 in year one, $325,000 Siegmeyer's required rate of return is 8%. in year two, $150,000 in year three, and $1 80,000 in year four. 10. What is the payback period of this project? a. 4.00 years b. 3.09 years c. 2.91 years d. 2.50 years 11. What is the net present value of this project? $87,417.50 b. $96,320.16 c. $100,328.95 d. $104,089.40 12. What is the internal rate of return of this project? a. 25.91% b. 18.52% -. 15.13% d. 12.64% Project A. Based 13. Based on the NPV calculated in Problem 11, Siegmeyer should on the IRR calculated in Problem 12, Siegmeyer shouldProject A a. Accept; Reject b. Reject; Accept c. Accept; Accept d. Reject; Reject 14. Suppose Siegmeyer identifies another mutually exclusive project, Project B, with a net present value of S98,525.50 and IRR of 17.33%. If neither project can be replaced, compared to the values calculated in Problems 11 and 12 Siegmeyer should accept a. Project A b. Project B c. both projects d. neither project 3 of 5

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