Question: 17. The company must choose between two mutually exclusive projects. The cost of capital is 9%. The cash flows are as follows: Year 0 Year
17. The company must choose between two mutually exclusive projects. The cost of capital is 9%. The cash flows are as follows: Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Project X -$50,000 $5000 10.000 20,000 35,000 55.000 Project Y -$50,000 $40.000 $30,000 $20,000 $10.000 $0 A. Calculate the following: Project X Payback Period: b. NPV 38.988.73 C. IRR Project Y Accept/Reject Rank B. Which project would you recommend? Why?
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