Question: Money Flow ($) Year Project A Project B 0 -$ 10,800 -$ 8,400 1 4,200 2,300 2 5,000

Money Flow ($)
Year Project A Project B
0 -$ 10,800 -$ 8,400
1     4,200       2,300
2     5,000       6,100
3     3,800       3,400

Calculate the internal rate of return for Projects A and B

Options from Question 17:

Project A's rate of return= 10.03%.

The rate of return for Project B= 8.05.%.


Project A's rate of return= 10.03%.

Project B's rate of return= 18%.


The rate of return for project A= 7.03%.

The rate of return for project B= 18%.

 

None of the above

 






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