Question: Please answer the below question for MBA 570 Corporate Finance ASAP. Thx Project Cash Flow Today (millions) Cash Flow in One Year (millions) A -$5

Please answer the below question for MBA 570 Corporate Finance ASAP. Thx

Project

Cash Flow Today (millions)

Cash Flow in One Year (millions)

A

-$5

$21

B

$4

$7

C

$24

-$11

Your firm has identified three potential investment projects. The projects and their cash flows are shown above.

Project

Cash Flow Today

(millions)

Cash Flow in One Year

(millions)

A

$5

$ 21

B

$4

$ 7

C

$24

$11

Suppose all cash flows are certain and the risk-free interest rate is 11%.

a. What is the NPV of each project?

b. If the firm can choose only one of these projects, which should it choose based on the NPV decision rule?

c. If the firm can choose any two of these projects, which should it choose based on the NPV decision rule?

a. What is the NPV of each project?

The NPV of project A is $ million. (Round to two decimal places.)

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