options for questions 1,2 and 3:

accept project C only

accept project d only

accept both projects

accept neither projects

require more information for decision making

Project C and project D are mutually exclusive projects with conventional cashflows. The net present values (NPV) of the projects are calculated at the cost of capital of 10% and 15% and provided below. cost of capital NPV (Project) NPV (Project D) 10% $ 109,366 $120,756 15% $57,709 $50,837 Project C has an internal rate of return (IRR) of 22%. Project D has an internal rate of return (IRR) of 19%. Three companies are interested in investing in the projects. The cost of capital of each company is given below: Company Cost of capital Red 896 Green 12% Blue 17% Provide your advice to each of the companies. 1. Company Red should 2. Company Green should 3. Company Blue should