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You are choosing between two projects. The cash flows for the projects are given in the following table ($ million) a. What are the
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million) a. What are the IRRS of the two projects? b. If your discount rate is 4.6%, what are the NPVS of the two projects? c. Why do IRR and NPV rank the two projects differently? Project Year 0 Year 1 Year 2 Year 3 Year 4 AB - $48 $27 $20 $19 $17 -$101 $20 $40 $49 $62
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Principles of Managerial Finance
Authors: Lawrence J. Gitman, Chad J. Zutter
14th edition
133507696, 978-0133507690
