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Consider proiects A and B with the following cash flows. a What is the NPV of each at 10% ? b What is the IRR?

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Consider proiects A and B with the following cash flows. a What is the NPV of each at 10% ? b What is the IRR? of each project? c What is the Profitability Index for each project? d What is the Payback Period for each project? e The projects are mutually exclusive. Are there any conflicts on the decision? Which would you choose? f Which project is most attractive to a firm that can raise an unlimited amount of funds to pay for its investment projects? g Which project is most attractive to a firm that is limited in the funds it can raise

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