Consider the following projects with their respective cash flows:YearProject AProject BProject CInitial Outlay-$30,000-$25,000-$35,000Year 1$10,000$8,000$12,000Year 2$10,000$8,000$12,000Year...
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Accounting
Consider the following projects with their respective cash flows:
Year
Project A
Project B
Project C
Initial Outlay
-$30,000
-$25,000
-$35,000
Year 1
$10,000
$8,000
$12,000
Year 2
$10,000
$8,000
$12,000
Year 3
$10,000
$8,000
$12,000
Required:
Determine the payback period for each project.
Calculate the discounted payback period at a discount rate of 10%.
Compute the NPV for each project.
Find the IRR for each project.
Evaluate the profitability index for each project.
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