Project A The initial investment for the project is $250,000, and the project will continue for seven years, and the following Cash flows will be generated. The cash flows are reported below. The firm also reported the following information. Assume that the company generates a revenue of $300,000 for the first year, and it is subject to grow at a rate of 5 percent for the investment period. The first-year expense is $200,000 and is subject to increase by 7 percent every year. This company uses straight-line depreciation, and the useful life for the Investment is eight years. The company is also subject to a 40% tax rate. Ye ar Cash Flows 41,000 48,000 63,000 79,000 88,000 64,000 41,000 1234567 Project B Initial Investment for the project is $750,000, and Investment will generate equal cash flows of $120,000. These cash flows will last for ten years. Assume that the company generates a revenue of $400,000 for the first year, and it is subject to grow at a rate of 7 percent for the investment period. The first-year expense is $150,000 and is subject to increase by 10 percent every year. This company uses straight-line depreciation, and the useful life for the Investment is ten years. The company is also subject to a 40% tax rate. Project C The initial investment for the project is $350, 000 and Investment has the following cash flows that will continue for seven years. Assume that the company generates a revenue of $400,000 for the first year, and it is subject to grow at a rate of 5 percent for the investment period. The first-year expense is $150,000 and is subject to increase by 15 percent every year. This company uses straight-line depreciation, and the useful life for the Investment is ten years. The company is also subject to a 40% tax rate. Ye Cash ar Flows 1 $ 49,200 2 $ 38,400 3 $81,900 4 $ 55,300 5 $ 123,200 6 $ 41,600 7 $ 69,700 a) Fill the table below calculating the NPV for different discount rates for all the projects Project A Project B Project C Discount Rate 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% b) Fill the table below for calculating the Profitability index using the required returns Discount Rate Project A Project B Project C 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% c) Calculate the Average accounting returns for each of the projects. d) Calculate the payback period for each project and comment if the project will be accepted if the preset cutoff points are 3, 4, and 5 years. Show your calculations e) Calculate the discounted payback period for all projects using the discount rates reported in the table below. Discount Rate Project A Project B Project C 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 11% 12% 13% 14% 15% f) According to your findings, comment on which projects should be invested in when mutually inclusive. Use the following methods separately. Explain your reasoning a. According to NPV b. According to the Profitability index c. According to AAR d. According to the Payback Method e. According to Discounted Payback Period g) According to your findings, comment on which projects should be invested in when they re mutually exclusive. Explain your reasoning a. According to NPV b. According to the Profitability index c. According to AAR d. According to the Payback Method e. According to Discounted Payback Period h) Comment about which project should be taken considering the investment appraisal techniques you have applied previously when it is mutually exclusive.