Question
For the following projects the Net Present Value and the Internal Rates of Return have been calculated: XYZ Cost (Io)400400400 NPV @10%$172 94145 NPV @23%
For the following projects the Net Present Value and the Internal Rates of Return have been calculated:
XYZ
Cost (Io)400400400
NPV @10%$172 94145
NPV @23% $[Negative] 1527
IRR20%27%29%
a. If X is a lease of a flower shop, Y is the lease of the same flower shop with a different management company, and Z is the purchase of the same flower shop, and the firm has $800 to invest...
Which project(s) would be accepted at:
10% cost of capital:
23% cost of capital:
b.If X is an auto shop, Y is a restaurant, and Z is a flower shop, and the firm has $800 to invest...
Which project(s) would be accepted at:
10% cost of capital:
23% cost of capital:
c. (as in b. above) If X is an auto shop, Y is a restaurant, and Z is a flower shop, and the firm has $1,200 to invest.
Which project(s) would be accepted at:
10% cost of capital:
23% cost of capital:
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Contemporary Business Mathematics with Canadian Applications
Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs
10th edition
133052311, 978-0133052312
