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Following are the flows of two projects that took place at the end of the year. It is assumed that the company will use a
Following are the flows of two projects that took place at the end of the year. It is assumed that the company will use a 10% Weighted Average Cost of Capital (WACC):
The project name | Year 0 | Year 1 | Year 2 | Year 3 |
A | IDR 2100 | IDR 1500 | IDR 900 | IDR 300 |
B | IDR 2100 | IDR 300 | IDR 900 | IDR 1800 |
Questions
What is Project A's Internal Rate of Return (IRR)?
What is the Internal Rate of Return (IRR) for Project B?
How long is the return period for project A?
How long is the return period for project B?
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