A project that costs $2,400 to install will provide annual cash flows of $590 for the next 5 years. The firm accepts projects with payback periods of less than 5 years.
a-1. What is this project's payback period? (Round your answer to 3 decimal places.)
Payback period years
a-2. Will the project be accepted?
Yes
No
b-1.
What is project NPV if the discount rate is 4%? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
NPV $
b-2. Should this project be pursued?
Yes
No
b3-
What is project NPV if the discount rate is 11%? (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Round your answer to 2 decimal places.)
I NEED B3 ANSWERED PLEASE CAN SOMEONE HELP?
NPV $
b-4. Should this project be pursued?
Yes
No
b-5. Will the firm’s decision change as the discount rate changes?
No
Yes