Question: (Conflicting recommendations?) Consider the two projects whose cash flows are shown in Table 2.7 Find the IRR of the two projects and the NPVs at

(Conflicting recommendations?) Consider the two projects whose cash flows are shown in Table 2.7 Find the IRR of the two projects and the NPVs at 5%. Show that the IRR and NPV figures yield different recommendations. Can you explain this? TABLE 2.7 Years Project 1 -100 30 30 30 30 30 Project 2 -150 42 42 42 42 42

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