The following table contains information about four potential investment projects that Castle Corporation is considering. Required Investment Payback Period 3.6 4.8 4.5 2.5 Project B с $ 900,000 $ 1,150,000 $ 1,400,000 $ 1,900,000 Required 1 Project Life 5 1st preferred 2nd preferred 3rd preferred 4th preferred 4 4 Required 2 ARR Required: 1. Rank the four projects in order of preference under each method indicated by the headers: 2. Which method is the best for evaluating the investments? Complete this question by entering your answers in the tabs below. 39.00% 21.00% 22.50% 22.20% NPV $ 469,750 $ 741,562 $ 219,920 $ 249,258 Rank the four projects in order of preference under each method indicated by the headers: Accounting Rate of Return Payback Period Profitability Index Net Present Value Profitability Index 2.19 1.98 1.61 1.56
The following table contains information about four potential investment projects that Castle Corporation is considering. Required Investment Payback Period 3.6 4.8 4.5 2.5 Project B с $ 900,000 $ 1,150,000 $ 1,400,000 $ 1,900,000 Required 1 Project Life 5 1st preferred 2nd preferred 3rd preferred 4th preferred 4 4 Required 2 ARR Required: 1. Rank the four projects in order of preference under each method indicated by the headers: 2. Which method is the best for evaluating the investments? Complete this question by entering your answers in the tabs below. 39.00% 21.00% 22.50% 22.20% NPV $ 469,750 $ 741,562 $ 219,920 $ 249,258 Rank the four projects in order of preference under each method indicated by the headers: Accounting Rate of Return Payback Period Profitability Index Net Present Value Profitability Index 2.19 1.98 1.61 1.56
Chapter1: Financial Statements And Business Decisions
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