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Here are the cash flows for two mutually exclusive projects: Project C00 C11 C22 C33 A $ 30,800 +$ 12,200 +$ 12,200 +$ 12,200 B
Here are the cash flows for two mutually exclusive projects:
Project | C00 | C11 | C22 | C33 |
---|---|---|---|---|
A | $ 30,800 | +$ 12,200 | +$ 12,200 | +$ 12,200 |
B | 30,800 | 0 | 0 | +38,700 |
At what interest rates would you prefer project A to B?
What is the IRR of each project?
Can someone answer these?
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