Ch 12 - Participation Activity The ABC Co. has to select either Project 1 or Project 2. The projects have the following cash flows: Cost of capital is 10% Note: you will be filling in the X's. Year Project 1 Project 2 Project 1 Project 2 0 $(24,000) $(24,000) Payback Payback 11,000 NPV = $17,699 NPV = 11,000 11,000 IRR = 35.97% IRR = 4 11,000 5 11,000 X MIRR = 68,000 MIRR = 4.35 x 1 0 2 3 IX 0 0 0 X