Question: 39. Deyland Inc, is considering Projects S and L, whose cash flows are shown below. These projects are mutually exclustve, equally risky, and not repeatable.
39. Deyland Inc, is considering Projects S and L, whose cash flows are shown below. These projects are mutually exclustve, equally risky, and not repeatable. If the decislon is made by choosing the project with the higher MiRR rather than the one with the higher NPV, how much value will be forgone? Note that under some conditions choosing projects on the basls of the MIRR will cause $0.00 value to be lost. WACC =9%. a. $24.71 b. $27.46 c. $30.51 d. $33.90 e. $37.29
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