Question
(10-10c-d) Project S has a cost of $9,000 and is expected to produce benefits (cash flows) of $2,700 per year for 5 years. Project L
(10-10c-d) Project S has a cost of $9,000 and is expected to produce benefits (cash flows) of $2,700 per year for 5 years. Project L costs $26,000 and is expected to produce cash flows of $7,100 per year for 5 years.
C.Calculate the two projects' MIRRs, assuming a cost of capital of 10%. round two decimals
Project S
Project L
Which project would be selected, assuming they are mutually exclusive?
D.Calculate the two projects' PIs, assuming a cost of capital of 10%. round two decimals.
Project S
Project L
Which project would be selected, assuming they are mutually exclusive?
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Fundamentals Of Institutional Asset Management
Authors: Frank J Fabozzi, Francesco A Fabozzi
1st Edition
9811220034, 9789811220036
