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Excel Online Structured Activity: NPV profiles A company is considering two mutually exclusive expansion plans. Plan A requires a $40 milion expenditure on a large-scale

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Excel Online Structured Activity: NPV profiles A company is considering two mutually exclusive expansion plans. Plan A requires a $40 milion expenditure on a large-scale integrated plant that would provide exp.etad i ai i float of S39 million per year for 20 years. Pan B requires a sis millon expenditure to build a somewhat less emcient, more labor-intensive plant with an expected cash flow of 13.36 millon per year for 20 years. The firm's WACC is 10%. The data has been collected in the Microsoft Excel Online file below. Open the spreadsheet and perform the required analysis to answer the questions below a. Calculate each project's NPV. Round your answers to two decimal places. Do not round your intermediate calculations. Enter your answers in millions. For example, an answer of $10,550,000 should be entered as 10.55 Plan B: Calculate each project's IRR. Round your answer to two decimal places. Plan A: million Plan B: b. By graphing the NPV profiles for Plan A and Plan B, approximate the crossover rate to the nearest percent. c. Calculate the crossover rate where the two projects' NPVs are equal. Round your answer to two decimal places. d. Why is NPV better than IRR for making capital budgeting decisions that add to shareholder value? The input in the box below will not be graded, but may be reviewed and considered by your instructor NPV Profiles: Discount Rates $0.00 $0.00 $0.00 S0.00 0.00 $0.00! $0.00 0.00 $0.00 $0.00 0.00 0.00 $0.00 $0.00 $0.00 0.00 2 0% 5% 10% 15% 20% 22% 25% NPV Profiles OOSI 950059 5 05 Uitld 98 Jo

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