Using internal rate of return, which of the two projects in Question 46.19A would be preferred? Data
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Using internal rate of return, which of the two projects in Question 46.19A would be preferred?
Data from Question 46.19
Which of the following two mutually exclusive alternatives should be selected if a 7 per cent interest rate is used for the calculation of net present value?
Transcribed Image Text:
Project X Project Y Net cash flow Year 0 £ (68,000) (58,000) Net cash flow Year 1 £ 30,000 42,000 Net cash flow Year 3 £ 48,000 21,000
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Related Book For
Frank Woods Business Accounting Volume 2
ISBN: 9780273693109
10th Edition
Authors: Frank Wood, Alan Sangster
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