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Your company is considering three mutually exclusive projects. Project A Project B Project C Year Cash Flow Cash Flow Cash Flow 0 -$38,500 -$42,000 -$37,000
Your company is considering three mutually exclusive projects.
Project A Project B Project C
Year Cash Flow Cash Flow Cash Flow
0 -$38,500 -$42,000 -$37,000
1 $20,000 $10,000 $15,000
2 $24,000 $40,000 $29,500
3 $26,000 $10,000 $25,000
The company doesnt have any constraints in raising money, and the WACC is 10%.
Which project should they invest in?
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