Question: b) Project Fox and Project Monkey are two mutually exclusive projects with conventional cash flows. The NPV profiles for the two projects are shown as

b) Project Fox and Project Monkey are two mutually exclusive projects with conventional cash flows. The NPV profiles for the two projects are shown as follows: NPV ($) 0 Cost of Capital (%) The two projects have the same net present value (NPV) at the cost of capital of 11%. Project Monkey's internal rate of return is 20%. Project Fox's internal rate of return is higher than 20%. Four companies are considering investing in the projects. The cost of capital for each company is listed below: Company Cost of capital Company! 9% Company 11 12% Company III 18% Company IV 23% Pick one piece of advice from the list below for each company. (4 marks) A. Project Fox Only B. Project Monkey Only C. Both Projects D. Neither Projects E. Not Sure. More information is required

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