Question
3 ) ( Non-conventional Cashflows ). Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow
3) (Non-conventional Cashflows). Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: |
Year | Cash Flow | ||
0 | $ | 39,800,000 |
|
1 |
| 63,800,000 |
|
2 | 12,800,000 |
| |
a. What is the NPV for the project if the company requires a return of 11 percent
b. Should the company accept this project? Why?
c. Suppose, this project has two IRR: 36.79% and 76.49%. in such a case, should you use NPV or IRR as the decision rule? Why?
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Cryptocurrency And Bitcoin 101 Beginner S Guide To Becoming A Professional Trader And Investor In Digital Currency Without The Fear Of Liquidation Or Crash
Authors: Robert J Lewis
1st Edition
979-8826353905
