Risk classes and RADR Moses Manufacturing is attempting to select the best of three mutually exclusive projects, X, Y, and Z. Although all the projects have 5-year lives, they possess differing degrees of risk. Project X is in class V. the highest-risk class, project Y is in class II, the below-average-risk class; and project Z is in class III, the average-risk class. The basic cash flow data for each project and the risk classes and risk-adjusted discount rates (RADRs) used by the firm are shown in the following tables B. a. Find the risk-adjusted NPV for each project. b. Which project, if any, would you recommend that the firm undertake? Data Table a. The net present value for project X is $ 370517.8). (Round to the nearest cent.) (Click on the icon located on the top-right corner of the data table below in order to copy its contents into a spreadsheet.) Project X $177,000 Project Z $311,000 Initial investment (CF) Yeart) 1 2 3 4 5 $76,000 74,000 60,000 59,000 59,000 Project Y $233.000 Cash Inflows (CF) $54,000 68,000 71,000 83,000 98,000 $89,000 89.000 89.000 89.000 89.000 Risk Class 1 II ull IV V Risk Classes and RADRs Description Risk adjusted discount rate (RADR) Lowest risk 10.2% % Below-average risk 13.0 Average risk 15.1 Above-average risk 19.2 Highest risk 22.0 Enter your answer in the answer box and then click Check Answer. Print Done ? parts Claar All Check