Question
Find NPV and IRR for both the projects. Year Project A Project B 0
Find NPV and IRR for both the projects.
Year Project A Project B
0 -200$ -150$
1 200$ 50$
2 800$ 100$
3 -800$ 150$
Calculate IRR by finding the NPV first with a rate of return of 10%. Then calculate positive NPV, then calculate negative NPV. And then find the IRR using the formula,
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Foundations of Finance The Logic and Practice of Financial Management
Authors: Arthur J. Keown, John D. Martin, J. William Petty
8th edition
132994879, 978-0132994873
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