5. Problem 11.06 NPV

Your division is considering two projects with the following cash flows (in millions):

0 1 2 3 $17 Project A Projects -$27 -$25 $13 $14 $8 $2 $11 a. What are the projects' NPVs assuming the WACC is 5%? Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Negative values, if any, should be indicated by a minus sign. De not round Intermediate calculations, Round your answer to two decimal places. Project A: $ million Project : $ million What are the projects' NPVs assuming the WACC is 10%? Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Negative values, if any, should be indicated by a minus sign. Do not round Intermediate calculations. Round your answer to two decimal places Project A$ million Project : $ million What are the projects' NPVs assuming the WACC is 15%? Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Negative values, if any, should be indicated by a minus sign. Do not round Intermediate calculations. Round your answer to two decimal places. Project A: $ million Project : $ million b. What are the projects IRRs assuming the WACC is 5%? Do not round intermediate calculations, Round your answer to two decimal place Project A: % Project : What are the projects TRas assuming the WACC is 10%? Do not round intermediate calculations. Round your answer to two decimal places Project A % Project B: W What are the projects IRRs assuming the WACC IS 152 Do not found intermediate calculations. Round your answer to two decimal places Project A: Project : % c. If the WACC was 5% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 90.37%.) -Select- If the WACC was 10% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 90.37%.) If the WACC was 15% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 90.37%.) Balet Project Project Mar AB