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Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year 0 Cash Flow $39,700,000 63,700,000 - 12,700,000 1
Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year 0 Cash Flow $39,700,000 63,700,000 - 12,700,000 1 2 a-1 What is the NPV for the project if the company requires a return of 10 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) NPV $ 7,713,223.14 a-2 Should the company accept this project? No Yes b. This project has two IRR's, namely percent and percent, in order from smallest to largest. (Note: If you can only compute one IRR value, you should input that amount into both answer boxes in order to obtain some credit.) (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
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