Question: Consider projects Alpha and Beta: Cash Flows ($) Co C C Project Alpha -393,000 258,000 192,992 10 Beta -194,000 139,500 87,000 12 IRR (%) The

Consider projects Alpha and Beta: Cash Flows ($) Co C C Project Alpha -393,000 258,000 192,992 10 Beta -194,000 139,500 87,000 12 IRR (%) The opportunity cost of capital is 8%. Suppose you can undertake Alpha or Beta, but not both. Use the IRR rule to make the choice. (Hint: What's the incremental investment in Alpha?) Which project did you choose? Which project did you choose?
 Consider projects Alpha and Beta: Cash Flows ($) Co C C
Project Alpha -393,000 258,000 192,992 10 Beta -194,000 139,500 87,000 12 IRR

Consider projects Alpha and Beta: The opportunity cost of capital is 8%. Suppose you can undertake Alpha or Beta, but not both. Use the IRR rule to make the choice. (Hint: What's the incremental investment in Alpha?) Which project did you choose? Consider projects Alpha and Beta: The opportunity cost of capital is 8%. Suppose you can undertake Alpha or Beta, but not both. Use the IRR rule to make the choice. (Hint: What's the incremental investment in Alpha?) Which project did you choose? Consider projects Alpha and Beta: The opportunity cost of capital is 8%. Suppose you can undertake Alpha or Beta, but not both. Use the IRR rule to make the choice. (Hint: What's the incremental investment in Alpha?) Which project did you choose

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