Intro

You've estimated the following cash flows (in $) for two projects:

	A	B	C
1	Year	Project A	Project B
2	0	-78	-261
3	1	15	50
4	2	21	73
5	3	29	82
6	4	36	122

The required return is 7% for both projects.

Attempt 1/5 for 10 pts.

Part 1

What is the IRR for project A?

Submit

Attempt 1/5 for 10 pts.

Part 2

What is the IRR for project B?

Submit

Attempt 1/5 for 10 pts.

Part 3

What is the NPV of project A?

Submit

Attempt 1/5 for 10 pts.

Part 4

What is the NPV of project B?

Submit

Attempt 1/5 for 10 pts.

Part 5

If the projects are mutually exclusive, which project should you choose?

Project A, based on the NPV

Project B, based on the IRR

Project A, based on the IRR

Project B, based on the NPV