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You have two investment options, Project X and Project with an initial investment capital of $1,200,000.00. The End-of-Period four year cash flow for Project A

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You have two investment options, Project X and Project with an initial investment capital of $1,200,000.00. The End-of-Period four year cash flow for Project A are: 50.00 (Year 1). $ 250,000.00 (Year 2). $450,000.00 (Year 3), 51,000,000 (Year 4). The End-of-Period four year cash flow for Project Y are $400,000.00 from Year 1. 4. The weighted average cost of capital (WACC) is 10%. The following is required: 1. Calculate the NPV's for both projects 2. Calculate the IRR for both projects 3. Calculate the cross-over Rate 4. Calculate the NPV on the Cross-over Rate 5. Calculate the MIRR (ong method shown as per chapter if the reinvestment rate is 60 6. Calculate the MIRR using the Excel automated function as shown in class. 7. Which of the two projects would you select and why you can opt to provide different scenarios in your response)

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