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You have been asked to evaluate the following projects. The discount rate is Calculate the NPV, IRR and Profitability Index for Project A. NPV
You have been asked to evaluate the following projects. The discount rate is Calculate the NPV, IRR and Profitability Index for Project A. NPV IRR Profitability Index (PI) Required: 13.0% Time Project A Project B Project C Project D 0.1234 0 $ (1,950) $ (5,053) $ (3,924) $ (1,277) 850 899 2,963 7,179 850 926 150 903 850 583 787 2,398 850 2,092 587 999 Project A Project B Project C Project D ? $ (1,845) $ (279) $ 8,058 ? -3.9% 8.1% 480.3% ? 0.63 0.93 7.31 What is the Project A's NPV? (Round your answer to the nearest dollar [$1,432]). Rank the projects by IRR. (Use capital letters without commas or spaces [e.g. BDAC]) Rank the projects by Pl. (Use capital letters without commas or spaces [e.g. BDAC]) If the projects are mutually exclusive what project should you accept? Blank # 1 Blank # 2 Blank # 3 Blank # 4 A A A/
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