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XYZ is considering two mutually exclusive projects called A and B. The initial cost of project A is $100000 and it generates the after tax
XYZ is considering two mutually exclusive projects called A and B. The initial cost of project A is $100000 and it generates the after tax cash flow of 15000 per year forever. The initial cost of project A is $150000 and it generates the after tax cash flow of 18000 per year forever. What is the cross over rate for project A and B if the discount rate is
10%? 9% 5% 6% 10%
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