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sos all please A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 $10
sos all please
A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 $10 Projects -$1,000 $893.35 $240 $10 $15 Project L -$1,000 $250 $420 $748.12 The company's WACC is 8.0%. What is the IRR of the better project? (Hint: The better project may or may not be the one with the higher IRR.) Round your answer to two decimal places. % A firm with a WACC of 10% is considering the following mutually exclusive projects: 1 2 3 4 5 Project 1 -$450 $80 $80 $80 $230 $230 Project 2 -$500 $250 $250 $145 $145 $145 Which project would you recommend? Select the correct answer. Ca. Project 1, since the NPV, > NPV2. Ob. Project 2, since the NPV2 > NPV1. Oc. Neither Project 1 nor 2, since each project's NPV 0. Oe. Both Projects 1 and 2, since both projects have NPV's > 0. Project L requires an initial outlay at t = 0 of $61,000, its expected cash inflows are $13,000 per year for 12 years, and its WACC is 14%. What is the project's payback? Round your answer to two decimal places. yearsStep by Step Solution
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