Question: A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 5 S -700 10
A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 5 S -700 10 10 10 200 200 L -900 100 100 55 55 55 The companys WACC is 11%. What is the IRR of the better project?
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