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Compare Projects Alpha and Beta by using the incremental NPW and incremental IRR analysis method. Cash flow items are given in actual dollars. The inflation
Compare Projects Alpha and Beta by using the incremental NPW and incremental IRR analysis method. Cash flow items are given in actual dollars. The inflation rate is 2% per year and the real rte of return is 6%, which project is your choice? Project Alpha Beta End of Year Cash Flow (Actual dollars) -$100,000 $100,000 S20,000 $20,000 $20,000 -S100,000 S10,000 S35,000S60,000 S85,000 0 3 4
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