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Following is information on two alternative investment projects being considered by Tiger Company. The company requires a 5% return from its investments. Project x1 Project
Following is information on two alternative investment projects being considered by Tiger Company. The company requires a 5% return from its investments. Project x1 Project X2 Initial investment $ (194,800) $ (168,808) Net cash flows in: Year 1 37,600 78,eee Year 2 47,500 68,000 Year 3 72,500 58,000 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to 2 decimal places.) IRR Acceptable? %6 Project X1 Project X2
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