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1) I need to find the answer by typing in formula in excel spreadsheet, can't just type in the answer need formula. A firm is
1) I need to find the answer by typing in formula in excel spreadsheet, can't just type in the answer need formula.
A firm is evaluating the following project. What is the IRR of the project?
year 0 (28,000)
year 1 $12,000
year 2 $15,000
year 3 $11,000
4)
Mahjong, Inc., has identified the following two mutually exclusive projects: |
Year | Cash Flow (A) | Cash Flow (B) |
0 | $36,900 | $36,900 |
1 | 19,260 | 6,760 |
2 | 14,760 | 13,260 |
3 | 12,260 | 19,760 |
4 | 9,260 | 23,760 |
Required: |
(a) | What is the IRR for Project A? |
(Click to select)22.64%22.21%20.91%21.56%20.48% |
(b) | What is the IRR for Project B? |
(Click to select)19.93%21.61%20.35%20.98%22.03% |
(c) | If the required return is 15 percent, what is the NPV for Project A? |
(Click to select)$4,145.89$4,233.17$4,364.09$4,495.01$4,582.29 |
(d) | If the required return is 15 percent, what is the NPV for Project B? |
(Click to select)$5,414.64$5,749.56$5,582.1$5,303$5,861.21 |
(e) | At what discount rate would the company be indifferent between these two projects? |
(Click to select)19.48%20.06%18.9%20.45%18.51% |
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