Question
IRR AND NPV A company is analyzing two mutually exclusive projects, S and L, with the following cash flows 0 1 2 3 4 Project
IRR AND NPV
A company is analyzing two mutually exclusive projects, S and L, with the following cash flows
| 0 | 1 | 2 | 3 | 4 |
| Project S | -$1,000 | $884.93 | $260 | $10 | $5 |
| Project L | -$1,000 | $0 | $260 | $380 | $817.13 |
The company's WACC is 9.0%. What is the IRR of the better project? (Hint: The better project may or may not be the one with the higher IRR.) Round your answer to two decimal places.
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Investing In Real Estate Private Equity
Authors: Sean Cook
1st Edition
1980587027, 978-1980587026
