What is the discounted paycheck period for each of projects

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Your division is considering 2 investment projects, which requires up-front expenditure of $25 million. a. what is the regular payback period for each projects? b. What is the discounted paycheck period for each of the projects? c. If 2 projects are independent and the cost of capital is 10%, which project should the firm undertake? d. if the 2 projects are mutually exclusive and the cost of capital is 5%, which project should the firm undertake. e. if 2 projects are mutually exclusive and the cost of capital is 15%, which project should the firm undertake? f. what is the crossover rate? g. if the cost of capital is 10%, what is the modified IRR (MIRR) of each project?

Reference no: EM131020472

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