Which projects are worth funding if the market interest rate is 8%?Project CashCash inflowsAnnualiz(productivity ofthe investment)outflowsed rate of(amountyou'd needto borrow)$250,000today$50,000return$25,000 per yearfor 15 yearsA2.74%$11,000 per yearfor 5 years1.92%today$100,000$60,000 per yearC9.54%todayfor 2 years$800,000today$84,000 per yearD0.49%for 10 yearsCВAB

Here, four projects for investment is given with their inflow and outflow of cash and their…

Which projects are worth funding if the market interest rate is 8%? Project |Cash Cash inflows Annualiz (productivity of the investment) outflows ed rate of (amount return you'd need to borrow) $250,000 today $25,000 per year A 2.74% for 15 years $50,000 today $100,000 today $11,000 per year for 5 years В 1.92% $60,000 per year 9.54% for 2 years $800,000 today $84,000 per year for 10 years D 0.49% C A

Which projects are worth funding if the market interest rate is 8%? Project |Cash Cash inflows Annualiz (productivity of the investment) outflows ed rate of (amount return you'd need to borrow) $250,000 today $25,000 per year A 2.74% for 15 years $50,000 today $100,000 today $11,000 per year for 5 years В 1.92% $60,000 per year 9.54% for 2 years $800,000 today $84,000 per year for 10 years D 0.49% C A

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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