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Question 6 (1 point) uestion Dursley Inc. considered a prospective investment in a business one month ago, but it could not proceed due to funds.
Question 6 (1 point) uestion Dursley Inc. considered a prospective investment in a business one month ago, but it could not proceed due to funds. Now, it is again presented with an opportunity to make the same investment. The net present value (NP project is less than earlier, despite no change in its cash flows. Based solely on the information, which of the day statements is the most likely conclusion? Question 6 options: esrin Oper Je sold fos countin costs $20 a. The interest offered on Treasury bills has decreased. n b. The unsystematic risk of the investment has decreased. c. The corporate bond prices have dropped. Question 7 (1 point) A company is considering two independent projects. Both projects have the same initial outlay and each project has a 15% required rate of return. The cash flows, NPVs, and IRRs for the two projects are detailed below: Cash Flows Year 0 1 2 3N NPV @ 15% IRR (%) Project 1 -10,000 5,000 4,500 4,500 709 19.3 Project 2 -10,000 0 0 16,500 849 18.2 The company most likely should invest in: Question 7 options: a. Project 1 because it has the higher IRR. b. Project 2 because it has the higher NPV. c. Both projects
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