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You have 3 projects with the following cash flows: (Click on the following icon in order to copy its contents into a spreadsheet.) 2 4

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You have 3 projects with the following cash flows: (Click on the following icon in order to copy its contents into a spreadsheet.) 2 4 Year Project 1 Project 2 Project 3 0 - $150 -825 21 1 $21 0 40 $38 0 59 3 $60 6,995 81 $82 -6,494 -243 a. For which of these projects is the IRR rule reliable? b. Estimate the IRR for each project (to the nearest 1%). c. What is the NPV of each project if the cost of capital is 5%? 20%? 50%

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