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  3. consider an investment that costs $100,000 and has

Consider an investment that costs $100,000 and has a cash inflow of $25,000 every year...

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Finance

Consider an investment that costs $100,000 and has a cash inflow of $25,000 every year for 5 years. The required return is 9%, and the required payback is 3.9 years.

  1. What is the payback period? Should we accept the project?

  1. What is the NPV? Should we accept the project?

  1. What is the IRR? Should we accept the project?

  1. What is the profitability index? Should we accept the project?

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