Question: 1/17 Consider the following two projects: Year Project Year 4 Cash Discount Rate Year 0 Cash Flow -100 -73 Year 1 Cash Flow 40 30
1/17 Consider the following two projects: Year Project Year 4 Cash Discount Rate Year 0 Cash Flow -100 -73 Year 1 Cash Flow 40 30 Year 2 Cash Flow 50 30 Flow Cash Flow 60 30 A B N/A 30 15 .15 4) The payback period for project B is closest to: A) 2.4 years B) 2.5 years C) 2.2 years D) 2.0 years 5) The maximum number of IRRs that could exist for project B is: A) 3 B) 2 C) 0 D) 1
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