Question
Matterhorn Mountain Gear is evaluating two projects with the following cash flows: Year Project X Project Y 0 $317,800 $296,250 1 146,900 137,700 2 164,400
Matterhorn Mountain Gear is evaluating two projects with the following cash flows:
Year Project X Project Y 0 $317,800 $296,250 1 146,900 137,700 2 164,400 154,900 3 129,500 120,650
What interest rate will make the NPV for the projects equal?
18.71%
19.10%
.38%
11.96%
13.45%
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Financial Markets and Institutions
Authors: Jeff Madura
12th edition
9781337515535, 1337099740, 1337515531, 978-1337099745
