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QuestionWe have two investment projects A&B. Both projects cost$250, and we require a 15% return of the twoinvestments.Year A B1 $100 $1002 $100 $2003 $100 04 $100 0a) Based on the payback period rule, which projectwould you pick? Explain.b) Based on the NPV rule, which project would youpick? Explain.c) Do a) and b) give you the same conclusion? Ifnot, why? Please elaborate.d) What other methods can you use to evaluateproposed investments? Please explain.
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