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A firm with a WACC of 10% is considering the following mutually exclusive projects: 0 1 2 3 4 5 Project 1 -$300 $50 $50
A firm with a WACC of 10% is considering the following mutually exclusive projects:
0 | 1 | 2 | 3 | 4 | 5 |
Project 1 | -$300 | $50 | $50 | $50 | $180 | $180 |
Project 2 | -$400 | $200 | $200 | $120 | $120 | $120 |
Which project would you recommend?
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