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All? techniques, conflicting rankings???Nicholson Roofing? Materials, Inc., is considering two mutually exclusive? projects, each with an initial...

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Finance

All? techniques, conflicting rankings???Nicholson Roofing?Materials, Inc., is considering two mutually exclusive? projects,each with an initial investment of ?$130 comma 000. The? company'sboard of directors has set a? 4-year payback requirement and hasset its cost of capital at 8?%. The cash inflows associated withthe two projects are shown in the following? table: LOADING.... a.Calculate the payback period for each project. Rank the projects bypayback period. b.??Calculate the NPV of each project. Rank theproject by NPV. c.??Calculate the IRR of each project. Rank theproject by IRR. d.??Make a recommendation.

1$45,000$65,000
2$45,000$50,000
3$45,000$30,000
4$45,000$30,000
5$45,000$30,000
6$45,000$30,000

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All? techniques, conflicting rankings???Nicholson Roofing?Materials, Inc., is considering two mutually exclusive? projects,each with an initial investment of ?$130 comma 000. The? company'sboard of directors has set a? 4-year payback requirement and hasset its cost of capital at 8?%. The cash inflows associated withthe two projects are shown in the following? table: LOADING.... a.Calculate the payback period for each project. Rank the projects bypayback period. b.??Calculate the NPV of each project. Rank theproject by NPV. c.??Calculate the IRR of each project. Rank theproject by IRR. d.??Make a recommendation.1$45,000$65,0002$45,000$50,0003$45,000$30,0004$45,000$30,0005$45,000$30,0006$45,000$30,000

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