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Chap 5 & 6 Practice Questions 1: XYZ Co. is considering two mutually exclusive projects, Project A and Project B. The projects have the following

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Chap 5 & 6 Practice Questions 1: XYZ Co. is considering two mutually exclusive projects, Project A and Project B. The projects have the following cash flows. Both projects have a 10 percent cost of capital. Year Project A Project B 0 -500 -500 1 150 300 2 200 300 3 250 350 4 100 -300 A. What is Project A's net present value (NPV)? B. At what discount rate would the two projects have the same net present value

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