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Your division is considering two projects with the following cash flows (in millions): Project A Project B intermediate calculations. Round your answer to two decimal
Your division is considering two projects with the following cash flows (in millions): Project A Project B intermediate calculations. Round your answer to two decimal places. Project A: \$ million Project B: \$ million intermediate calculations. Round your answer to two decimal places. Project A: \$ million Project B:$ million intermediate calculations. Round your answer to two decimal places. Project A: \$ million Project B: $ million b. What are the projects' IRRs assuming the WACC is 5\%? Do not round intermediate calculations. Round your answer to two decimal places. \begin{tabular}{ll} Project A: & % \\ Project B: & % \end{tabular} What are the projects' IRRs assuming the WACC is 10% ? Do not round intermediate calculations. Round your answer to two decimal places. Project A: % Project B: % What are the projects' IRRs assuming the WACC is 15\%? Do not round intermediate calculations. Round your answer to two decimal places. Project A: % Project B: % c. If the WACC was 5% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 3.86%.) If the WACC was 10% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 3.86%.) If the WACC was 15% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 3.86%.) If the WACC was 15% and A and B were mutually exclusive, which project would you choose? (Hint: The crossover rate is 3.86%.)
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