Question: (10%) 6.Let projects X and Y be two mutually exclusive investment projects with a discount rate of 10 percent and the following cash flows: Year
(10%) 6.Let projects X and Y be two mutually exclusive investment projects with a discount rate of 10 percent and the following cash flows: Year Project X - 100 80 70 20 Project Y - 100 30 40 50 100 0 4 a. Calculate NPV of the two projects. b. Calculate NPV with infinite replication. c. Calculate Equivalent annual NPV
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