ompany Bs WACC is 10%. It has three Projects it can choose from: Projects X, Y and Z. The following information is available regarding Project X. Years 0 1 2 3 Project X cash flows -$100 80 60 40 And the following information is available regarding Projects Y and Z. Criteria Project Y Project Z NPV $40 $67 MIRR 10% 20% IRR 2.0% 18.7% Regular Payback 2.23 years 1.77 years

9. If IRR for Project X is 17.95%, and the three project X, Y & Z are independent, then based on IRR criteria we choose: *

a. Only Z

b. X & Z

c. X, Y & Z

d. Y and Z

e. None of the above

10. Assuming the three projects X, Y & Z are mutually exclusive, based on regular payback period criteria we choose: *

a. Only X

b. Only Y

c. Only Z

d. ALL

e. None of the above