Question
The Sutherland purchasing department has made revisions to their costs and annual cash flows for Project A and Project B, as outlined below. Project A
The Sutherland purchasing department has made revisions to their costs and annual cash flows for Project A and Project B, as outlined below. | |
Project A | Project B |
Project A's revised investment is $217,300. The project's life and cash flow have changed to 6 years and $47,000, respectively, while expenses have been eliminated. | Project B's revised investment is $126,400. The project's life and cash flow have changed to 5 years and $87,500 while expe |
Compute the internal rate of return factor for Project A and Project B and then identify each project's corresponding percentage from the PV ordinary annuity table.
Note: Enter the IRR factor, to 5 decimal places.
Project A: The calculated IRR factor is fill in the blank d14cde02a047fcb_1 and this value corresponds to which percentage in the present value of ordinary annuity table? fill in the blank
Project B: The calculated IRR factor is fill in the blank d14cde02a047fcb_3 and this value corresponds to which percentage in the present value of ordinary annuity table? fill in the blank
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