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Consider the following projects. The Cost of Capital is 15%. Using this information, answer the following questions. Annual Cash Flows Smith Brown ($85,000) 20,000 20,000

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Consider the following projects. The Cost of Capital is 15%. Using this information, answer the following questions. Annual Cash Flows Smith Brown ($85,000) 20,000 20,000 ($130,000) 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 20,000 50,000 20,000 50,000 20,000 50,000 1. Calculate NPV for Smith - Round to nearest dollar, do not use dollar sign or commas. Use parentheses if your answer is negative. 2. Calculate NPV for Brown - Round to nearest dollar. Do not use dollar sign or commas. Use parentheses if your answer is negative. 3. Calculate IRR for Smith - Round to 2 decimal places. Do not use a percentage sign. Use parentheses if your answer is negative. If your answer is 35.678% Enter 35.68 4. Calculate IRR for Brown - Round to 2 decimal places. Do not use a percentage sign. Use parentheses if your answer is negative. If your answer is 8.1523% Enter 8.15 5. If the projects are Independent, which project(s) would you accept? Enter A for Smith, enter B for Brown, enter C for both 6. If the projects are mutually exclusive, which project(s) would you accept? Enter A for Smith, enter B for Brown, enter C for both

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