A The Sanders Electric Company is evaluating two projects for pOssible inclusion in the firm's capital budget. Project M will require a $ 37,000 investment while project O's investment will be S46,000. After-tax cash inflows are estimated as follows for the two projects : i. dbirlW Jnom YEAR PROJECT M PROJECT O $ 12,000 $ 10,000 10,000 12,000 eoft Bdfemues 15,000 4TO18 2oitinuhoggo in12,000 R nomh15,000 12,000 2500919hib 1o1 ieuibs o 5 lsiqso lo 1200 e'min '15, 000 a. Determine the payback period for each project. bn b. Calculate the NPV and PI for each project based on a 10 SToie percent cost of capital. Which, if either, of the projects is acceptable

both are integral parts of a corporate balance sheet. the cash flow statement, or statement of cash flows, measures the sources of a company's cash and its uses of cash over a specific time period. the income statement measures a company's financial performance, such as revenues, expenses, profits or losses over a specific time period (in fact, it's sometimes called a statement of financial performance).

a cash flow statement shows exactly how much money a company has received and how much it has spent, traditionally over a period of one month. it captures the current operating results and changes on the balance sheet, such as increases or decreases in accounts receivable or accounts payable, and does not include noncash accounting items such as depreciation and amortization. the cash flow generally comes from revenue received as a result of business activity, but it may be augmented by funds available as a result of credit. a cash flow statement is used to determine the short-term viability and liquidity of a company, specifically how well it is positioned to pay its bills and vendors.

the answer is a.

by: nicholas dooley

answer; decentralized;