Assuming all cash flows occur at the end of the year and estimated WACC for ABC Ltdd. is 12.5%, what should the firm do if they use IRR method to evaluate the project? Dont mind the answer I selected!

QUESTION 1 2 points This is a continuation of the previous problem. ABC Ltd. is planning to set up a new plant. The new project has the same risk profile as the overall company. The plant requires an initial investment of 100 million. The project is expected to generate the following cash flows: Year Cash flow (mni 1 48 2 5S 3 65 -53 5 52 6 Assuming all cash flows occur at the end of the year and estimated WACC for ABC ud is 12.5% what should the firm do if they use TRR method to evaluate the project? Assuming all cash flows occur at the end of the year and estimated WACC for ABC Ltd. is 12.5%, what should the firm do if they use IRR method to evaluate the project? OA Accept the project as IRR > WACC B. Can't say because IRR can not be estimated for the project Accept the project as IRRWACC OD Reject the project as IRR