RIO Tinto Iron Ore Project

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In reading the attached WSJ article answer the following using the following concepts from Chapter $9$:

Payoff

NPV

IRR

Rio Tinto Plans $$6\mathrm{.}2$ Billion Investment in Guinea Iron Ore Project $-$ WSJ$.$pdfOpen this document with ReadSpeaker docReader

Download Rio Tinto Plans $$6\mathrm{.}2$ Billion Investment in Guinea Iron Ore Project $-$ WSJ$.$pdfOpen this document with ReadSpeaker docReader

Your discussions should be no more than $2$ paragraphs.

$1.$ Summarize what RT plans on purchasing.

$2.$ As the CFO of RT$,$ which is the most accurate method your team should use to evaluate their investment objective Payoff, NPV or IRR and why?

$3.$ What does the author mean when they say RT is taking an equity share in Simandou iron ore.