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this is all 1 question pls answer all parts a-g. note: couldn't fit all in one picture. E eBook Problem Walk-Through A company has a

this is all 1 question pls answer all parts a-g.
note: couldn't fit all in one picture.
image text in transcribed
image text in transcribed
E eBook Problem Walk-Through A company has a 12% WACC and is considering two mutually exclusive investments (that cannot be repeated) with the following cash flows: 0 1 3 6 7 Project A Project B 2 -$300 -$387 -$193 -$100 $600 $600 $850 -$180 -$405 $134 $134 $134 $134 $134 $134 $0 a. What is each project's NPV? Negative values, if any, should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest cent. Project A: $ Project B: $ b. What is each project's IRR? Do not round intermediate calculations. Round your answers to two decimal places. Project A Project B: % c. What is each project's MIRR? (Hint: Consider Period 7 as the end of Project 8's life.) Do not round intermediate calculations. Round your answers to two decimal places. Project A: Project B d. From your answers to parts a-c, which project would be selected? % Select If the WACC was 18%, which project would be selected? Select -Select- If the WACC was 18%, which project would be selected? e. Construct NPV profiles for Projects A and B. If an amount is zero, enter 0. Negative values, if any, should be indicated by a minus sign. Do not round intermediate calculations. Round your answers to the nearest cent. NPV Project A Discount Rate 0% 5 10 12 15 NPV Project B 18.1 23.97 f. Calculate the crossover rate where the two projects' NPVS are equal. Do not round intermediate calculations. Round your answer to two decimal places. 9. What is each project's MIRR at a WACC of 18%? Do not round intermediate calculations. Round your answers to two decimal places. Project A: Project B: % Grade it Now Save & Continue ReadSpeaks

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