X ($) Raja Company has $18,000,000 to invest and wishes to evaluate the following three...

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X ($) Raja Company has $18,000,000 to invest and wishes to evaluate the following three projects. Years Y($) Z ($) 0 (10,000,000 (8,000,000 (9,000,000 1 4,000,000 6,000,000 5,000,000 2 4,000,000 5,000,000 3 4,000,000 5,000,000 6,000,000 4 4,000,000 3,000,000 cost of capital 13% 13% 13% Required: Which project(s) would you recommend using? a. Payback Period (PP) in nominal and discounted values. b. Net Present Value (NPV) c. Profitability Index (PI) d. The internal rate of return (IRR) (hint: use 35%) 13

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