Question: 1. Two projects being considered by a firm are mutually exclusive and have the following projected cash flows: Project A Project B Year Cash Flow

 1. Two projects being considered by a firm are mutually exclusive
and have the following projected cash flows: Project A Project B Year

1. Two projects being considered by a firm are mutually exclusive and have the following projected cash flows: Project A Project B Year Cash Flow Cash Flow 0 -$300,000 -$300,000 145,500 $150,000 2 145,500 -$ 40,000 3 145,500 $370,000 The firm's cost of capital is 10 percent. Based only on the information given, a. What are the NPV for Project A and B? Which project do you choose based on the NPV? b. What are the payback periods for Project A and B? Which project do you choose based on the payback periods? c. What are the IRR for Projects A and B? Which project do you choose based on the IRR? d. What are the MIRR for Projects A and B? Which project do you choose based on the MIRR? Yes, you can use excel

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