A compary is considering two mutually exclusive expansion plans. Plan A requires a $40 million expenditure on a large-scale integrated plant that would provide expected cash flows of $6.39 million per year for 20 years. Plan B requires a $11 million expenditure to build a somewhat less efficient, more labor intensive plant with an expected cash flow of $2.47 million per year for 20 years. The firm's WACC is 11%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. Calculate each project's NPV. Round your answers to two decimal places. Do not round your intermediate calculations. Enter your answers in mililions. For example, an answer of $10,550,000 should be entered as 10.55. PlanA:$PlanB:$millionmilion Calculate each project's IRR. Round your answer to two decimal places. Pian A: Plan B: b. By graphing the NPY profles for Plan A and Plan B, approximate the crossover rate to the nearest percent. c. Calculate the crossover rate where the two projects' NPVs are equal. Round your answer to two decimal places. d. Why is NPV better than TRR for making capital budgeting decisions that add to shareholder value? The inpout in the box below will not be graded, but may be reviewed and considered by your instructor. 1. Nev urofies 2 WACE 11.00% 5 (Dollas in Matore) 6 Plan A 7. Pata 8 10 Prued Nev Calculations: 51100 5247 $2.47$247 $2.47 $2.4712.47 11 ipera Formulas atth eves 13 Arqeatipr Cabivisons It Nav protlet 18. Dincovel ifatet \begin{tabular}{|r|r|r|r|r|r|} \hline 15 & 16 & 17 & 18 & 19 & 20 \\ \hline$6.39 & $6.39 & $6.39 & $6.39 & $6.39 & $6.39 \\ \hline$2.47 & $2.47 & $2.47 & $2.47 & $2.47 & $2.47 \\ \hline \end{tabular} Calculation of Crossover mate: 45 Calailason of Crustcyer Rate. 41 Pian A 11 Proect Oest ot Available Error is not available to the formula or n. A compary is considering two mutually exclusive expansion plans. Plan A requires a $40 million expenditure on a large-scale integrated plant that would provide expected cash flows of $6.39 million per year for 20 years. Plan B requires a $11 million expenditure to build a somewhat less efficient, more labor intensive plant with an expected cash flow of $2.47 million per year for 20 years. The firm's WACC is 11%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below. Open spreadsheet a. Calculate each project's NPV. Round your answers to two decimal places. Do not round your intermediate calculations. Enter your answers in mililions. For example, an answer of $10,550,000 should be entered as 10.55. PlanA:$PlanB:$millionmilion Calculate each project's IRR. Round your answer to two decimal places. Pian A: Plan B: b. By graphing the NPY profles for Plan A and Plan B, approximate the crossover rate to the nearest percent. c. Calculate the crossover rate where the two projects' NPVs are equal. Round your answer to two decimal places. d. Why is NPV better than TRR for making capital budgeting decisions that add to shareholder value? The inpout in the box below will not be graded, but may be reviewed and considered by your instructor. 1. Nev urofies 2 WACE 11.00% 5 (Dollas in Matore) 6 Plan A 7. Pata 8 10 Prued Nev Calculations: 51100 5247 $2.47$247 $2.47 $2.4712.47 11 ipera Formulas atth eves 13 Arqeatipr Cabivisons It Nav protlet 18. Dincovel ifatet \begin{tabular}{|r|r|r|r|r|r|} \hline 15 & 16 & 17 & 18 & 19 & 20 \\ \hline$6.39 & $6.39 & $6.39 & $6.39 & $6.39 & $6.39 \\ \hline$2.47 & $2.47 & $2.47 & $2.47 & $2.47 & $2.47 \\ \hline \end{tabular} Calculation of Crossover mate: 45 Calailason of Crustcyer Rate. 41 Pian A 11 Proect Oest ot Available Error is not available to the formula or n