Question: A firm is considering two mutually exclusive projects, X and Y, with the following cash flows; the projects are equally risky, and their WACC is

A firm is considering two mutually exclusive projects, X and Y, with the following cash flows; the projects are equally risky, and their WACC is 11.5%. What is the MIRR of the project that maximizes shareholder value?

t =

0

1

2

3

4

5

Project X

-900

125

225

375

425

425

Project Y

-900

625

275

225

175

125

Group of answer choices

18.03%

15.75%

20.14%

16.69%

15.29%

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