Question
A firm with a WACC of 6% has a choice between Project A which has a NPV of $45,000 and IRR of 10% and Project
A firm with a WACC of 6% has a choice between Project A which has a NPV of $45,000 and IRR of 10% and Project B which has a NPV of $80,000 and IRR of 8%. If the projects are mutually exclusive, which project should be chosen?
A. Project A
B. Project B
C. Both
D. Neither
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Principles Of Investments
Authors: Alan Marcus, Zvi Bodie, Michael Drew, Anup Basu, Alex Kane
1st Edition
0071012389, 978-0071012386
