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Please do it the correct way (last time I got half wrong) company has a 13% wacC and is considering two mutually exclusive investments (that
Please do it the correct way (last time I got half wrong)
company has a 13% wacC and is considering two mutually exclusive investments (that cannot be repested) with the following cash fows: a. What is each project's NPV? Negative values, if any, should be indicated by a minus sign. Do not round intermediate calculations, Round your answers to the nearest cent. Project A: 5 Preject B: 5 b. What is each profect's IAR? Do not round intermediate calculations. Round your answers to two decimal places. Preject A: Project B: c. What is each project's MikR? (Hint: Consider Period 7 as the end of Project B's the.) Do not round intermediate cakulations, Round your answers to two decimal places. Project A! Areject B: d. From your answers to parts a-c, which project would be seiected? It the WACC was 18\%, which project would be selected? e. Construct NDV profies for Projects A and B. If an amount is zero, enter 0 . Negative values, if any, should be indicated by a minus sign, Do not round intermediate cakulations, Round your the nearest cent. c. What is each project's MIRR? (Hint: Consider Period 7 as the end of Project B's life.) Do not round intermediate calculations. Round your answers to two decimal places. Project A: Project 8: d. From your answers to parts a-c, which project would be selected? If the WACC was 18%, which project would be selected? c. Construct Nif profiles for Prejects A and B. If an amount is rero, enter 0 . Negative values, if any, should be indicated by a minus sign. Do not round intermediate calculatic the nearest cent. f. Calculate the crossover rate where the two projects' NPVs are equal. Do not round intermediate calculations. Round your answer to two decimal places. 9. What is each project's MIRR at a WACC of 18% ? Do not round intermediate calculations. Round your answers to two decimal places. Project A: Project B Step by Step Solution
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