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The project has the cash flow given below and the cost of capital 10%. a. What is the project's NPV? Should the project be accepted/rejected

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The project has the cash flow given below and the cost of capital 10%. a. What is the project's NPV? Should the project be accepted/rejected based on NPV criterion? b. What is the project's IRR? Should the project be accepted/rejected based on IRR criterion? c. Should the project be accepted/rejected? Explain. d. If your answers in a., b., and c. are not the same, please explain what causes the dufference. If they are the same, describe a hypothetical situation when they could be different. Iron rate Time 10% Cash Flow 0 -$40.00 1 $240.00 2 -$300.00 3 $50.00 4 $45.00 Maximum Score a. What is the project's NPV? Should the project be accepted/rejected based on NP Score Project NPV Based on NPV the project should be ..., because ... b. What is the project's IRR? Should the project be accepted/rejected based on IRR criterion? Project IRR Based on IRR the project should be because ... 4 c. Should the project be accepted/rejected? Explain. The project should be ..., because d. If your answers in a., b., odc. are not the same, please explain. If they are the same, describe a hypothetical situation when they could be different 4

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