chapter 11

8. NPV

Your division is considering two projects with the following cash flows (in millions):

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1

2

3

Project A	-$21	$14	$9	$3
Project B	-$35	$20	$8	$15

a. What are the projects' NPVs assuming the WACC is 5%? Round your answer to two decimal places. Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Project A $ million Project B $ million

b. What are the projects' NPVs assuming the WACC is 10%? Round your answer to two decimal places. Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Project A $ million Project B $ million

c. What are the projects' NPVs assuming the WACC is 15%? Round your answer to two decimal places. Enter your answer in millions. For example, an answer of $10,550,000 should be entered as 10.55. Project A $ million Project B $ million

d. What are the projects' IRRs assuming the WACC is 5%? Round your answer to two decimal places. Project A % Project B %

e. What are the projects' IRRs assuming the WACC is 10%? Round your answer to two decimal places. Project A % Project B %

f. What are the projects' IRRs assuming the WACC is 15%? Round your answer to two decimal places. Project A % Project B %