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del NPV profile of two mutually exclusive projects. Moulton Industries has two potential projects for the coming your, Project 8-12 and Project F4. The two

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del NPV profile of two mutually exclusive projects. Moulton Industries has two potential projects for the coming your, Project 8-12 and Project F4. The two projects are mutually exclusive. The cash flows are listed in the following table Draw the NPV profile of each project, and determine their crossover rate it the appropriate hurdle rate is 8% for both projects, which project does Moulton Industries choose? Which of the graphs below best fits the NPV profiles of the projects? Click on the magnifying glass icon to see an enlarged version of each grach (Select the best response ) are on 25 30 dar Q OB 35 30 24 20 315 13 QD 20 15 10 NPV in millions of dollars B-12 NPV in ons of dones B-12 00 OD UBE -10 10 -261 Discount rates) Discount rates NPV profite of two mutually exclusive projects Moulton Industries has two potential projects for the coming year, Project B-12 and Project F4. The two projects are mutually exclusive. The cash flows are listed in the following table. Draw the NPV profile of each project, and determine their crossover rate of the appropriate hurdle rate is 8% for both projects, which project does Moulton Industries choose? Discount rates (%) Discount rates (96) OC. OD a a NN NPV in millions of dollars 35 30 25 20 15 15 10 05 0.0 -05 -10 -15 B-12 NPV in millions of dollars 35 30-1 25 20 15 10 B-12 05 00 -0.5 -10 -15 20 Discount) Discount rates (9) What is the crossover rate of the two projects? % (Round to two decimal places.) If the appropriate hurdle rate is 8% for both projects, Moulton Industries should choose Project Llick on the following icon in order to copy its contents into a spreadsheet.) Project F-4 - $3,820,000 $0 Cash Flow Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Project B-12 - $4,280,000 $2,080,000 $2,080,000 $2,080,000 $0 $0 $920,000 $1,560,000 $2,020,000 $2,520,000

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