Question: Bruin, Inc., has identified the following two mutually exclusive projects: Year 1 2 3 4 Cash Flow (A) -$29,800 15,200 13,100 9,600 5,500 Cash Flow


Bruin, Inc., has identified the following two mutually exclusive projects: Year 1 2 3 4 Cash Flow (A) -$29,800 15,200 13,100 9,600 5,500 Cash Flow (B) -$29,800 4,700 10,200 16,000 17,600 a-1 What is the IRR for each of these projects? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.) 20.36% Project A Project B 18.46% b-1 If the required return is 10 percent, what is the NPV for each of these projects? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Project A Project B b-2Which project will the company choose if it applies the NPV decision rule? Project A Project B c. At what discount rate would the company be indifferent between these two projects? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Discount rate %
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