Question: 16. Here are the cash-flow forecasts for two mutually exclusive projects: Cash Flows (dollars) Year Project A Project B -100 -100 30 49 50 49
16. Here are the cash-flow forecasts for two mutually exclusive projects: Cash Flows (dollars) Year Project A Project B -100 -100 30 49 50 49 70 49 Which project would you choose if the opportunity cost of capital is 12%? Please calculate the NPV, IRR, MIRR, payback, discounted payback for each project. 1 2 3 17. Your division is considering two projects. Its WACC is 10%, and the projects after-tax cash flows (in millions of dollars) would be as follows: 0 1 2 3 E + + Project A -$30 $5 $10 Project B -$30 $20 $10 $8 $6 4 $15 $20 a. Calculate the projects' NPVS, IRRS, MIRRs, paybacks, and discounted paybacks. b. If the two projects are independent, which project(s) should be chosen
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