Question: Calculate the Payback, NPV, & IRR for the two projects. a. For the Payback, assume first no discount rate and then change to 10% and
Calculate the Payback, NPV, & IRR for the two projects. a. For the Payback, assume first no discount rate and then change to 10% and then 15%. How does the Discounted Payback period change? b. For NPV, which project is best if the rate used is 10%? 15%? c. What are the IRRs for each project? Year Project 1 Project 2 0 -15000 -18000 1 9500 10500 2 6000 7000 3 2400 6000 5. Incremental IRR: Consider the two projects as
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