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Consider the following two projects: Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Discount Project C/F C/F C/F C/F C/F C/F

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Consider the following two projects: Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Discount Project C/F C/F C/F C/F C/F C/F Rate Alpha -30 20 25 30 35 4 0 15% Bet =80255 255 25 16 a) Which project would you choose based on the NPV rule? b) Draw a graph showing the IRR, if IRR for project Alpha is 20% and IRR for project Beta is 22%

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