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Mr. Cyrus Clops, the president of Giant Enterprises, has to make a choice between two possible investments: Cash Flows ($ thousands) Project C 0 C
- Mr. Cyrus Clops, the president of Giant Enterprises, has to make a choice between two possible investments:
| Cash Flows ($ thousands) | ||||
| Project | C0 | C1 | C2 | IRR (%) |
| A | -400 | +250 | +300 | 23 |
| B | -200 | +140 | +179 | 36 |
The opportunity cost of capital is 9%. Which project should Mr. Clops invest in?
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Principles Of Managerial Finance
Authors: Chad J. Zutter, Scott Smart
16th Edition
0136945880, 978-0136945888
