How to Solve on HP 12C Financial Calculator?

c. In what circumstances should the company accept project A? d. Calculate the NPV of the incremental investment (B - A) for discount rates of 0, 10, and 20%. Plot these on your graph. Show that the circumstances in which you would accept A are also those in which the IRR on the incremental investment is less than the opportunity cost of capital. TUI Wildl lang Ul Uicuul Iales uus uit PIUJCL llave PosLive T V ! 11. Consider the following two mutually exclusive projects: Cash Flows ($) Project CA Co -100 -100 +60 +60 o 0 +140 B a. Calculate the NPV of each project for discount rates of 0, 10, and 20%. Plot these on a graph with NPV on the vertical axis and discount rate on the horizontal axis. b. What is the approximate IRR for each project? We've updated our read aloud feature! c. In what circumstances should the company accept project A? d. Calculate the NPV of the incremental investment (B - A) for discount rates of 0, 10, and 20%. Plot these on your graph. Show that the circumstances in which you would accept A are also those in which the IRR on the incremental investment is less than the opportunity cost of capital. TUI Wildl lang Ul Uicuul Iales uus uit PIUJCL llave PosLive T V ! 11. Consider the following two mutually exclusive projects: Cash Flows ($) Project CA Co -100 -100 +60 +60 o 0 +140 B a. Calculate the NPV of each project for discount rates of 0, 10, and 20%. Plot these on a graph with NPV on the vertical axis and discount rate on the horizontal axis. b. What is the approximate IRR for each project? We've updated our read aloud feature