help me please

a. Which unit would you recemmend? 1. Since we sre examining cotts, the unit chosen wouls be the che that had the lower NoV of costs. Since HCCs NPV of costs is lewer than LCC's, HCC wesid be chosen. 11. Since we are examining costs, the unit chosen would be the one that had the lower MPV of costs. Since LCC's NiV of costs is lower then HCC's, LCC would be chosen. III. Since all of the cash fows are negative, the Nov/s cannot be calculated and an atemative method mut be employed IV Since all of the cash flows are nogative, the her's wal be negative and we do not accept any project that has a negative NoV. v. Since all of the cash flows are negative, the Ira's wal be nepative and we do not accept afy profect that has a negative tra. b. If Kias's controller wanted to know the taks of the two projects, whM would you tell him? 1. The IRR of each preject is negbtive and therefore not ustuil for decriob-making. II. The res cannot be calculated because the cath fows are all one sign. A change of siph weuld be needed in order to calculate the taR. 11. The taR cancot be calculated because the cash flows are in the form of an arnuity. N. The IRR of esch project wit be positive at a lower WMCC. V. There are mulugle IRR's for each project. c. If the WACC rose to 10% would this affect rour recommendecien? 1. When the WACC increases to IO\%, the IRR for HCC is grester than the IRR for LCC, HCC aould be chosen. If. Since all of the Cash flows are negative, the NPV's will be negative and we do not socept anv peject that has a negative Nov. 113. When the WACC increases to 10\%, the NFV of cests are now lower for LCC than HCC. W. When the WACC increases to 10\%, the NW of costs are now kewer for HCC than LCC. When the WACC increases to 10\%, the IRR for LCC is grebter than the IRR for HCC, LCC would be chosen. Why os rou think this result pocurred? 11. The reason is that when you decount at a Noher rate vou are making negative Cris higher and this lowers the lepv. . The reason is that when you discoum at a higher rote vou are making segative Ps higher thus improving the inR