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(6) Company BW has the following two investment opportunities (A and B). a) Which project is better, according to NPV ? [15 points] b) Which
(6) Company BW has the following two investment opportunities (A and B).
a) Which project is better, according to NPV ? [15 points]
b) Which project is better, according to Modified IRR? [15 points]
***Lets not to consider the difference in the duration of these projects***
Table won't upload so I will type it out
Net Cash Flow
End of Year Project A. Project B
0 -8000....B =-6000
1 500........B=2,500
2 11,500.......B=3,500
3 B=3,500
4 B=3,000
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