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You are considering these two mutually exclusive projects A and B. Year 0 1 2 3 4 14 Project A $ (9,000) $4,000 $3,000 $4,000
You are considering these two mutually exclusive projects A and B. Year 0 1 2 3 4 14 Project A $ (9,000) $4,000 $3,000 $4,000 $3,000 Calculate the NPV of each project if the estimated opportunity cost of capital is 13%. Should you accept or reject these projects? Why? * (5 Points) Enter your answer 15 Project B $ (9,000) $2,000 $3,000 $4,000 $6,000 Calculate the IRR of each project. Should you accept or reject these projects? Why? * (5 Points) 15 Calculate the IRR of each project. Should you accept or reject these projects? Why? * (5 Points) Enter your answer 16 Calculate the Profitability index of each project. Should you accept or reject these projects? Why? * (4 Points) 17 Calculate the payback period of each project. * (4 Points) Enter your answer 18 Which project you should choose? Why? * (2 Points)
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