Question
Garage, Inc., has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 $ -29,000 $ -29,000 1 14,400 4,300
| Garage, Inc., has identified the following two mutually exclusive projects: |
| Year | Cash Flow (A) | Cash Flow (B) | ||||||
| 0 | $ | -29,000 | $ | -29,000 | ||||
| 1 | 14,400 | 4,300 | ||||||
| 2 | 12,300 | 9,800 | ||||||
| 3 | 9,200 | 15,200 | ||||||
| 4 | 5,100 | 16,800 | ||||||
| What is the IRR for each of these projects? If the required return is 11 percent, what is the NPV for each of these projects?
| ||||||||
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Mathematical Finance Core Theory Problems And Statistical Algorithms
Authors: Nikolai Dokuchaev
1st Edition
0415414482, 978-0415414487
