12 Kaleb Konstruction, Inc., has the following mutually exclusive projects available. The
company has historically used a three year cutoff for projects. The required return is 10
percent.
1.25
points
eBook
Year
0
1
2
3
4
5
Project F
-$ 195,000
98,400
86,300
81,600
72,000
64,800
Project G
-$298,000
71,600
94,500
123,600
166,800
187,200
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References
a. Calculate the payback period for both projects. (Do not round intermediate
calculations and round your answers to 2 decimal places, e. g., 32.16.)
b. Calculate the NPV for both projects. (Do not round intermediate calculations and
round your answers to 2 decimal places, e. g., 32.16.)
c. Which project should the company accept?
years
a. Project F
Project G
b. Project F
years
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