Dissertation Writers: Compute the IRR, Payback Period and Profitability Index for each project
Use the operating projections given in the case to compute an NPV for each project. Which project creates more value? (Note that you must choose a discount rate and terminal value growth rate for each project.)
Compute the IRR, Payback Period and Profitability Index for each project. How should these decision tools affect Harris’ decision? How do they compare to NPV as tools for evaluating projects?
If Harris is forced to choose only one project, which should she recommend? Why?