28. You are considering the following projects and can take only one. Your cost of capital is...

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28. You are considering the following projects and can take only one. Your cost of capital is 11%.

0 1 A -100 25 B -100 50 29 3 30 40 40 30 452 50 20

a. What is the NPV of each project at your cost of capital?

b. What is the IRR of each project?

c. At what cost of capital are you indifferent between the two projects?

d. What should you do?

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Fundamentals Of Corporate Finance

ISBN: 9781292018409

3rd Global Edition

Authors: Berk, Peter DeMarzo, Jarrad Harford

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Question Posted: Oct 21, 2024 11:00 AM

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28. You are considering the following projects and can take only one. Your cost of capital is...

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Fundamentals Of Corporate Finance

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