Question: A company is considering two mutually exclusive expansion plans. Plan A requires a $40 million expenditure on a large-scale integrated plant that would provide expected

 A company is considering two mutually exclusive expansion plans. Plan A
requires a $40 million expenditure on a large-scale integrated plant that would

A company is considering two mutually exclusive expansion plans. Plan A requires a $40 million expenditure on a large-scale integrated plant that would provide expected cash flows of $6.39 million per year for 20 years. Plan B requires a $11 mulion expenditure to build a somewhat less efficient, more labor-intensive perform the required analysis to answer the questions below. Open spreadsheet a. Calculate each project's NPV. Round your answers to two decimal places. Do not round your intermediate caiculations. Enter your answers in inulions, For example, an answer of $10,550,000 should be entered as 10,55 , Plan A: 5 million Plan Bu 5 mullion Calcolate each project's Ins: Pound your answer to two deamal places. Pan A: Plan BS b. ty araphing the NSY proliles for Plan A and Phon B. approwimate the crosvover rate to the nearest percent. c. Caiculate the crossover fate where the rwo profects' NUIV ate equal. Round your antwen to tho deocelar places. a. Calculate each project's NPN. Round your answers to two decimal places. Do not round your intermediate calculations, Enter your answers in mililons. For example, an answer of $10,550,000 should be entered as 10.55. Plan A: 5 milision Pian 8: 5 mullion Calculate each project's 1RR. Round your answer to two decimal places, Pian A1 plan B. b. By graphing the NiPV prefiles for Plan A and Plan B, approximate the crossoyer rate to the nearest percent. c. Calculate the crossever rate where the two proyects' NPVs are equal. Round your answer to twa decimal places. d. Why is NFY bettes than ISG for mbking capital budgetmg deowons that add to shargholder value? The inout in the bos below wilt not be orededi but enar be reverwed and consilered ty you instructor

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