Consider two mutually exclusive projects A and B: Cash Flows (dollars) Project C 0 C 1 C

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Consider two mutually exclusive projects A and B:

Cash Flows (dollars)

ProjectC₀C₁C₂NPV at 10%A39,00028,20028,200+$9,942B59,00042,00042,000+13,893

a.Calculate IRRs for A and B.

Which project does the IRR rule suggest is best?

Project A
Project B

Posted Date: May 16, 2024 08:00 PM

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Consider two mutually exclusive projects A and B: Cash Flows (dollars) Project C 0 C 1 C

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