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b) Project X and Project Y are independent projects with conventional cash flows. The internal rate of return (IRR) for each project is given below:

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b) Project X and Project Y are independent projects with conventional cash flows. The internal rate of return (IRR) for each project is given below: Project Project X Project Y IRR 17% 12% Company A, Company B and Company C need your advice on whether or not they should invest in the projects. The cost of capital for each company is given below: Company Cost of Capital Company A 8% Company B 13% Company C 18% Provide your advice to each company on each project in the table below by answering "Yes" for accepting the project, "No" for rejecting the project and "Not Sure" if more information is required for decision making. (3 marks) Company A Company B Company C Project X Project Y

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