All techniquesDecision among mutually exclusive investments Pound Industries is attempting to select the best of...

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All techniquesDecision among mutually exclusive investments Pound Industries is attempting to select the best of three mutually exclusive projects. The initial investment and after-tax cash inflows associated with these projects are shown in the following table. Cash flows Project A Project B Project C Initial investment (CF) $40,000 $80,000 $90,000 Cash inflows (CF), t= 1 to 5 $15,000 $27,000 $27,500 a. Calculate the payback period for each project. b. Calculate the net present value (NPV) of each project, assuming that the firm has a cost of capital equal to 14%. c. Calculate the internal rate of return (IRR) for each project. d. Indicate which project you would recommend

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