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Cooper Electronics uses NPV profiles to visually evaluate competing projects. Key data for the two projects under consideration are given in the following table: Terra

Cooper Electronics uses NPV profiles to visually evaluate competing projects. Key data for the two projects under consideration are given in the following table:

Terra Firma
Initial investment $25,000 $22,000
Year Cash inflows
1 $11,000 $6,000
2 $8,000 $8,000
3 $7,000 $6,000
4 $10,000 $9,000

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Using these data, graph, on the same set of axes, the NPV profiles for each project using discount rates of 0%, 8%, and the IRR.

The IRR of project Terra __ %

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