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A company has an 11% WACC and is considering two mutually exclusive investments that cannot be repeated) with the following cash flows: 2 7 0

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A company has an 11% WACC and is considering two mutually exclusive investments that cannot be repeated) with the following cash flows: 2 7 0 1 5 6 $600 Project A -$100 $600 Project B $133 $133 a. What is each project's NPV? Negative values, if any, should be indicated by a minus sign, Do not round intermediate calculations. Round your answers to the -$300 -$400 -$387 $133 -5193 $133 $133 $850 $133 a -$180 50 nearest cent Project As 240.69 Project B: 5 162.72 b. What is each project's TAR? Do not round Intermediate calculations. Round your answers to two decimal places, Project A: Project c. What is each project's MIRR? (Hint: Consider Period 7 as the end of Project B's me.) Do not round Intermediate calculations. Hound your answers to two decimal places Project A Project B d. From your answers to parts ac, which project would be selected -Select- If the WACC was 18%, which project would be selected? -Select e. Construct NPV profiles for Projects A and 8. If an amount is zero, enter 0. Negative values, if any, should be indicated by a minus sign. Do not round Intermediate calculations. Round your answers to the nearest cent. Discount Rate NPV Project. A NPV Project B 0% $ 5 10 12 15 18.1 24.18 f. Calculate the crossover rate where the two projects NPVs are equal. Do not round intermediate calculations. Round your answer to two decimal places. 9. What is each project's MIRR at a WACC of 18%? Do not round Intermediate calculations. Round your answers to two decimal places Project A: Project B %

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