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You recently attended a business seminar where one of the clients approached you to give advice about the projects below: REQUIRED: Cash Flow Cash
You recently attended a business seminar where one of the clients approached you to give advice about the projects below: REQUIRED: Cash Flow Cash Flow Cash Flow Year Project A Project B Project C 07234567812 -$100,000 -$100,000-$1,000,000 $10,000 $5,000 $50,000 $12,000 $5,000 $50,000 $12,000 $5,000 $50,000 $30,500 $5,000 $50,000 $12,500 $5,000 $50,000 $35,000 $5,000 $50,000 $20,000 $5,000 $50,000 $20,000 $5,000 $50,000 9 $35,000 $5,000 $50,000 10 $25,000 $1,000 $2,100,000 A. Given the interest rate is 4.5%, calculate NPV and IRR of projects above. B. Based on NPV and IRR, which project(s) should you choose? Will there be any conflicting problem if only one project can be chosen?
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