A firm evaluates all of its projects by applying the IRR rule. If the required return is 14 percent, should the firm accept the following project? Input area: Required Return Year 0 Year 1 Year 2 Year 3 14% ($41,000) $20,000 $23,000 $14,000 (Use cells A6 to B10 from the given information to complete this question.) Output area: IRR

Answer all four of the required questions!

A firm is evaluating a proposal which has aninital investment of $45,000 and has cash flows of $5,000 in year 1, $20,000 in year 2, $15,000 in year 3 and $10,000 in year 4. The payback period of the project is: Select one: a. 3.5 years b. 3 years c. 4 years d. 2.5 years

A firm requires a payback period of 2 years or less. According to the payback period rule, which of the following projects is acceptable to this firm? Year Project A Project B Project C 0 -$86 -$128 -$77 1 30 40 100 2 40 20 -50 3 50 10   4 60 130     a.  If you use payback period as a decision rule, you would choose  (No answer given)   Project A Project B Project C

A2. (PaybackandNPV)Threeprojectshavethecashflowsgivenhere.Thecostofcapitalis10%. a. Calculate the paybacks for all three projects. Rank the projects from best to worst based on their paybacks. Calculate the NPVs for all three projects. Rank the projects from best to worst based on their NPVs c. Why are these two sets of rankings different? YEAR              0   1   2   3   4     5Project 1     −10  4   3   2   1     5 Project 2      −10 1   2   3    4    5 Project 3      −10 4   3   2    1   10

Hi there, I am working on this problem. Can you please show me each step in solving this question without using excel? I am trying to figure out how to calculate the payback period for each project and also how do I calculate the IRR for each project? Riley Ltd. has the following 5 investment projects to choose from, the company needs to select one project.

I need this question completed in 10 minutes

Coore Manufacturing has the following two possible projects. The required return is 10 percent. Project Y -$ 27,900 13,900 Project Z -$ 59,000 17,500 12,300 30,000 14,700 10,300 Year 0 1 2 3 4 15,500 28,000 a. What is the profitability index for each project? Note: Do not round intermediate calculations and round your answers to 3 decimal places, e.g., 3- b. What is the NPV for each project? Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 3. c. Which, if either, of the projects should the company accept? a. Project Y Project Z b. Project Y Project Z c. Accept project

Net present value Using a cost of capital of 15%, calculate the net present value for the project shown in the following table and indicate whether it is acceptable, The net present value (NPV) of the project is $. (Round to the nearest cent.) Is the project acceptable? (Select the best answer below.) O Yes No Data table (Click on the icon here in order to copy the contents of the data table below a spreadsheet.) Initial investment (CF) Year (0) 1 2 3 4 5 6 7 8 9 10 -1,156,000 Cash inflows (CF) $75,000 $140,000 $192,000 $254,000 $313,000 $378,000 $271,000 $97,000 $49,000 $26,000

Problem 4. Which project would you select on the basis of rate of return, assuming MARR =15%. Please use excel spreadsheet to answer.