hence it says FIRST DETERMINE WHETHER PROJECT (X-Y) HAAS MULTIPLE IRR'S

1. (5 points) ASB Corp. is considering the following two project proposals X and Y. The projected cash flows for project X, and Y are as follows: Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 End of Period: Project X Project Y -580 2000 -218 -1440 438 -720 420 -360 656 -180 220 744 The effective annual required rate of return for both projects is 32%. Only one of the two projects can be accepted, Use the IRR method with incremental project (X - Y) to show which project is preferred. Explain your result. (HINT: First determine whether Project (X - Y) has multiple IRR's) 1. 5 points ASB Corp is considering the following two project proposals X and Y. The projected cash flows for project X and Y are as follows End of Year Year Year 2 Period: Project -218 Project The effective annual required rate of return for both projects is 32% Only one of the two projects can be wepted. Use the method with incremental project X-Y) to show which project is preferred. Explain your result (HINT: Fin determine whether Project IX - Y) has multiple )