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You are considering the following mutually exclusive projects: 0 1 2 3 4 5 Project A -400 45 45 45 300 300 Project B -600
You are considering the following mutually exclusive projects:
| 0 | 1 | 2 | 3 | 4 | 5 | |
| Project A | -400 | 45 | 45 | 45 | 300 | 300 |
| Project B | -600 | 326 | 326 | 50 | 50 | 50 |
if the firm required return (WACC) is 10%:
- What is the NPV of project A?
- What is the IRR of project A?
- What is the NPV of project B?
- What is the IRR of project B?
- Which one you must select?
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Introduction To Finance
Authors: Lawrence J Gitman, Jeff Madura
1st Edition
0201635372, 9780201635379
