You are evaluating the following two projects: Year-End Cash Flows ($ thousands) Project 0 1 2 X

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You are evaluating the following two projects:

Year-End Cash Flows ($ thousands)

Project 0 1 2 X -25 18 17 Y -70 36 54 Use the incremental IRR to determine the range of discount rates for which each project is optimal to undertake. Note that you should also include the range in which it does not make sense to take either project.

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Corporate Finance

ISBN: 9781292304151

5th Global Edition

Authors: Jonathan Berk, Peter DeMarzo

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