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eBook A firm with a WACC of 10% is considering the following mutually exclusive projects: Project 1 -$300 $45 $45 Project 2 -$550 $300 $300

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eBook A firm with a WACC of 10% is considering the following mutually exclusive projects: Project 1 -$300 $45 $45 Project 2 -$550 $300 $300 Which project would you recommend? $45 $110 $210 $110 $110 Select the correct answer. a. Both Projects 1 and 2, since both projects have NPV's > 0. b. Both Projects 1 and 2, since both projects have IRR's > 0. c. Project 2, since the NPV2 > NPV1. d. Neither Project 1 nor 2, since each project's NPV NPV2

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