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You have 3 projects with the following cash flows: Year 1 0 2 3 4 Project 1 -150 20 40 60 80 0 0 -6500
You have 3 projects with the following cash flows: Year 1 0 2 3 4 Project 1 -150 20 40 60 80 0 0 -6500 -245 Project 2 -825 7000 Project 3 20 40 60 80 1. For which of these projects is the IRR rule reliable? 5. Estimate the IRR for each project (to the nearest 1%). : What is the NPV of each project if the cost of capital is 5%? 20%? 50%
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