Question
There are two projects: Project A and Project B a. Project A: CF = -6000; CF1-5 = 2000; I/YR = 14. Calculate NPV, IRR,
There are two projects: Project A and Project B a. Project A: CF = -6000; CF1-5 = 2000; I/YR = 14. Calculate NPV, IRR, MIRR, Payback period, and discounted payback period for Project A. Project B: CF = -18000; CF1-5 = 5600; I/YR = 14. Calculate NPV, IRR, MIRR, Payback period, and discounted payback period for Project B. b. If the two projects are independent, which project(s) would be accepted? C. If the two projects are mutually exclusive, which project would be accepted? d. Is there conflict using both NPV and IRR approaches? If yes, why?
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Fundamentals of Financial Management
Authors: Eugene F. Brigham, Joel F. Houston
Concise 6th Edition
324664559, 978-0324664553
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