Question: Consider the following two mutually exclusive projects: Cash Flows ($) Project C0 C1 C2 C3 K $100 +$45 +$45 +$60 W $150 +$45 +$45 +$125

Consider the following two mutually exclusive projects: Cash Flows ($) Project C0 C1 C2 C3 K $100 +$45 +$45 +$60 W $150 +$45 +$45 +$125 Which statement is correct based on the above information about Projects K and W? Explain each statement below how it is either correct or false. i. If the discount rate is 7.5%, accept project W because the cross-over rate is 9% ii. If the discount rate is 7.5%, accept project W because the IRR of W is 17%. iii. Accept project K because the IRR of K is larger than the IRR of W. iv. Accept project K, because at a 9% discount rate K and W have the same net present value. v. If

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