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inte cmparaSle treated flo te as sump Glculaticns. v apprcQ-. should rate of retu sh flow T, (IRR) is fcr-s of its to its is an cf the project's NPV = CFO + of return, it 1 + IRR fo GluLating IRR n t and (1 + rRR)t s must be cl-Enge in tc tl-* IRR equation + IRR is simply the for the p.articular rate CFt IRR cost cf o NPV to IWLation that sh are at v . If tl-* is tl-En cost of pital, tl-* if the IRR is tl-En tl-* prcjzt's cut of pital, the cf the IRR the IRR can lead to conflicting from NPV metl-&. Two "sic projEt is larger the mutly pmjEts n to NPV IRR: pmblem: BellingQ- Indtries is for incl re the sked tc pmjEts. n its _FSget, and to Both re cn tin-* ash in projEt vs. later sh , operating pital s in the other przjEt) and project tax effEts I Included in Both h -1,300 iv, risk similar to firm's Bellinger's WACC A what Project A's 00 . not what Project B's IRR? If the which project(s) Elula tic aptQ yur to 2rding to tl-* If the which there with to IRR NPV IRR mutually mutly pmjEts used tl-* _dgeting