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LO4 24. Crossover and NPV Hanse, Inc., has the following two mutually exclusive projects available. Page 275 Year Project R Project S 0 -$47,000

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LO4 24. Crossover and NPV Hanse, Inc., has the following two mutually exclusive projects available. Page 275 Year Project R Project S 0 -$47,000 -$71,000 1 17,000 18,000 2 17,000 18,000 3 23,000 33,000 4 9,000 29,000 5 LO 5,000 7,000 What is the crossover rate for these two projects? What is the NPV of each project at the crossover rate? LO3, LO4 25. Calculating IRR A project has the following cash flows: Year 1 2 - Cash Flow $74,000 - 49,000 - 41,000 What is the IRR for this project? If the required return is 12 percent, should the firm accept the project? What is the NPV of

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