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NPV , with rankings Botany Bay, Inc., a maker of casual clothing, is considering four projects shown in the following table, Because of the company's
NPV with rankings
Botany Bay, Inc., a maker of casual clothing, is considering four projects shown in the following table, Because of the company's risk profile, it has a high cost of capital.
a Calculate the NPV of each project, using a cost of capital of
b Rank acceptable projects by NPV
c Calculate the IRR of each project and use it to determine the highest cost of capital at which all of the projects would be acceptable.
a Calculate the NPV of each project, using a cost of capital of
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 BProject CProject DInitial investment $$$$Year Cash inflows $$$$$$$$$$$$
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