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NPV and IRR analysis of projects Thomas Company is considering two mutually exclusive projects. The firm, which has a cost of capital of 1 1
NPV and IRR analysis of projects
Thomas Company is considering two mutually exclusive projects. The firm, which has a cost of capital of has estimated its cash flows as shown in the following table:
a Calculate the NPV of each project, and assess its acceptability.
b Calculate the IRR for each project, and assess its acceptability.
a The NPV of project is $Round to the nearest cent.
Data table
Click on the icon here in order to copy the contents of the data table below into a spreadsheet.
tableProject AProject BtableInitial investment
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