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Excel Online Structured Activity: Capital budgeting criteria A company has a 1 3 % WACC and is considering two mutually exclusive investments ( that cannot
Excel Online Structured Activity: Capital budgeting criteria
A company has a WACC and is considering two mutually exclusive investments that cannot be repeated with the following cash flows:
What is each project's NPV Round your answer to the nearest cent. Do not round your intermediate calculations.
Project A: $
Project B: $
What is each project's IRR? Round your answer to two decimal places.
Project A:
Project B:
What is each project's MIRR? Hint: Consider Period as the end of Project Bs life. Round your answer to two decimal places. Do not round your intermediate calculations.
Project A:
Project B:
Construct NPV profiles for Projects A and B Round your answers to the nearest cent. Do not round your intermediate calculations. Negative value should be indicated by a minus sign.
Discount Rate NPV Project A NPV Project B
$ $
$ $
$ $
$ $
$ $
$ $
$ $
Calculate the crossover rate where the two projects' NPVs are equal. Round your answer to two decimal places. Do not round your intermediate calculations.
What is each project's MIRR at a WACC of Round your answer to two decimal places. Do not round your intermediate calculations.
Project A:
Project B:
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