| Benson Regional Medical Center: Capital Budgeting |
| | | Discount Rate = | | 10% |
| | | WACC = | | 10% |
| | Program A | | | | | Program B |
| | Years | Cash Flows | | | | Years | Cash Flows |
| | 0 | -$228,500.00 | | | | 0 | -$419,500.00 |
| | 1 | $16,715.00 | | | | 1 | $45,430.00 |
| | 2 | $83,070.24 | | | | 2 | $153,351.75 |
| | 3 | $172,620.29 | | | | 3 | $294,861.83 |
| | 4 | $137,957.29 | | | | 4 | $282,824.17 |
| | 5 | $92,975.49 | | | | 5 | $220,932.28 |
| Project A | Discounted Payback Period | | | | Project B | Discounted Payback Period |
| | Years | Cash Flows | Cash Flows discounted to today's $$ (PV) | Cumulative Discounted CFs | | Years | Cash Flows | Cash Flows discounted to today's $$ (PV) | Cumulative Discounted CFs |
| | 0 | -$228,500.00 | | $0.00 | | 0 | -$419,500.00 | | $0.00 |
| | 1 | $16,715.00 | | $0.00 | | 1 | $45,430.00 | | $0.00 |
| | 2 | $83,070.24 | | $0.00 | | 2 | $153,351.75 | | $0.00 |
| | 3 | $172,620.29 | | $0.00 | | 3 | $294,861.83 | | $0.00 |
| | 4 | $137,957.29 | | $0.00 | | 4 | $282,824.17 | | $0.00 |
| | 5 | $92,975.49 | | $0.00 | | 5 | $220,932.28 | | $0.00 |
| | Net Present Value = | | | | | Net Present Value = |
| | Internal Rate of Return = | | | | | Internal Rate of Return = |
| | Discounted Payback (YY/MM) = | | | | | Discounted Payback (YY/MM) = |