The following table shows the forecast cash flows for two projects: Co A -$1,000 B -1,000 It C1 $20 50 C2 $20 50 Req A1 Now suppose that the term structure is upward sloping and investors demand a higher return on the more distant flows as in the following table: 1 2 3 4.0% 4.5% 5.08 Req A2 C3 $20 1,050 4 5.5% a-1. Calculate the IRR on the two projects. a-2. Calculate the NPV on the two projects. a-3. Do the two measures give the same ranking for the two projects? Req A3 C4 $20 5 6.0% Complete this question by entering your answers in the tabs below. % % C5 $1,200 Calculate the IRR on the two projects. (Do not round intermediate calculations. Round your answers to 2 decimal places.) IRRA IRRB < Req A1 Req A2 > The following table shows the forecast cash flows for two projects: A B It. Co -$1,000 -1,000 C1 $20 50 1 4.0% Req A1 Now suppose that the term structure is upward sloping and investors demand a higher return on the more distant flows as in the following table: NPVA NPVB 2 4.58 C2 $20 50 t Req A2 3 5.0% C3 $20 1,050 4 5.5% a-1. Calculate the IRR on the two projects. a-2. Calculate the NPV on the two projects. a-3. Do the two measures give the same ranking for the two projects? C4 $20 5 6.0% Complete this question by entering your answers in the tabs below. Req A3 C5 $1,200 Calculate the NPV on the two projects. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.) < Req A1 Req A3 > The following table shows the forecast cash flows for two projects: Co A -$1,000 B -1,000 It C1 $20 50 C2 $20 50 Req A1 Now suppose that the term structure is upward sloping and investors demand a higher return on the more distant flows as in the following table: 1 2 3 4.0% 4.5% 5.08 Req A2 C3 $20 1,050 4 5.5% a-1. Calculate the IRR on the two projects. a-2. Calculate the NPV on the two projects. a-3. Do the two measures give the same ranking for the two projects? Req A3 C4 $20 5 6.0% Complete this question by entering your answers in the tabs below. % % C5 $1,200 Calculate the IRR on the two projects. (Do not round intermediate calculations. Round your answers to 2 decimal places.) IRRA IRRB < Req A1 Req A2 > The following table shows the forecast cash flows for two projects: A B It. Co -$1,000 -1,000 C1 $20 50 1 4.0% Req A1 Now suppose that the term structure is upward sloping and investors demand a higher return on the more distant flows as in the following table: NPVA NPVB 2 4.58 C2 $20 50 t Req A2 3 5.0% C3 $20 1,050 4 5.5% a-1. Calculate the IRR on the two projects. a-2. Calculate the NPV on the two projects. a-3. Do the two measures give the same ranking for the two projects? C4 $20 5 6.0% Complete this question by entering your answers in the tabs below. Req A3 C5 $1,200 Calculate the NPV on the two projects. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to 2 decimal places.) < Req A1 Req A3 >