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A firm with a required return of 12.50% is evaluating three capital projects. The Internal Rates of Return are as follows. Project 1 2 3

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A firm with a required return of 12.50% is evaluating three capital projects. The Internal Rates of Return are as follows. Project 1 2 3 Internal Rate of Return 12% 15 13 The firm should accept Project 2, and reject Project 1 and 3 accept Project 1 and 2, and reject Project 3 accept Project 2 and 3, and reject Project 1 O accept Project 1 and 3, and reject Project 2 accept Project 3, and reject Project 1 and 2

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