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Morgan Pavoske 6 Company is evaluatine two mutually erclusive projects lexpected cash fows shown belowh. The firmis cost of capital is 11 percent. Draw the

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Morgan Pavoske 6 Company is evaluatine two mutually erclusive projects lexpected cash fows shown belowh. The firmis cost of capital is 11 percent. Draw the projects' NPV profiles in the space provlded below. Which of the following statements is mout EALSE? (Remember, these projects are mutually exclisive) A. The firm's cost of capital has to be to the left of the crossover B. Project A crosses the vertical wils at $2.500 C. The projects' NPV profiles cross at 25.7334%. D. When Project A has an NPV of \$212.89, the campany would be indifferent between the two projects. E. Project B would be more desirable with a cost of capltal between 0% and the crossover rate. Morgan Pavloske \& Company is evaluating two mutually exclusive projects (expected cash flows shown below). The firm's cost of capital is 11 percent. Which of the following is most CORRECT? A. For Project B, the IRR is 29.53% and the NPV is $1,654.36. B. For Project B, the IRR is 28.35% and the NPV is $1.409.08, For Project A, the IRR is 29.81% and the NPV is $1,396.22. For Project A, the IRR is 29.42% and the NPV is $1.453.51 E. For Project A, the IRR is 29.81% and the NPV is $1.321.79

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