Question
a. What is the IRR of each project? b. What is the NPV of each project at your cost of capital? c. At what cost
b. What is the NPV of each project at your cost of capital?
c. At what cost of capital are you indifferent between the two projects?
d. What should you do?
You are considering the following two projects and can only take one. Your cost of capital is 11%. A B 0 -100 -100 1 25 50 2 30 40 3 40 30 4 50 20
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College Algebra
Authors: Robert F Blitzer
7th Edition
013449492X, 9780134453262
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