Consider the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 –$218,917 –$16,419 1 25,700 5,985 2 53,000 8,370 3 58,000 13,931 4 420,000 8,655 Whichever project you choose, if any, you require a 6 percent return on your investment. What is the payback period for Project A?

I will choose Project B

Payback period of Project A is 4.2 years

Explanation:

IRR shows the percentage rate at which the net present value of the cash flows are zero. The more IRR rate of the project the more beneficial it is.

IRR

Project A = 31%

Project B = 38%

In this Question the IRR of Project B is higher so, it will be more beneficial and I will select it based on IRR ignoring all other factors.

Payback period of Project A is 4.2 years means 4 years, 2 months and 12 days.

it was decent, could have been a little better.. how bout you lol.

c.

explanation:

regressive tax taxes the poor and less of the wealthy. this the rich get richer and the poor get more poor. this would create a large wealth gap.