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Mrs Westwood, manager of Hope & Optimism Ltd, has to select an investment project between the next two alternatives (amounts expressed in thousands of Euros)

Mrs Westwood, manager of Hope & Optimism Ltd, has to select an investment project between the next two alternatives (amounts expressed in thousands of Euros) since the firm counts with only 5 million to invest in new activities: IP : -5000 IP: -5000 The NPV function of the first investment project (IP1) looks as follows: 1500,0 1000,0 500,0 0,0 -500,0 -1000,0 -1500,0 0% 5% 10% 15% 3541 14150 NPV 20% 2783,62 -9735 25% 30% 35% IRR = 18% IRR = {18%, 65%} 40% 45%
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Mrs Westwood, manager of Hope \& Optimism Ltd, has to select an investment project between the next two alternatives (amounts expressed in thousands of Euros) since the firm counts with only 5 million to invest in new activities: The NPV function of the first investment project (IP 1 ) looks as follows

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