Question: Please solve both the questions using MS EXCEL Question 1 A firm whose cost of capital is 10% is considering two mutually exclusive projects X
Please solve both the questions using MS EXCEL
Question 1
A firm whose cost of capital is 10% is considering two mutually exclusive projects X and Y, the details of which are:
Year Project XProject Y
Cost 0 Rs. 70,000 Rs. 70,000
Cash Inflows1Rs. 10,000Rs. 50,000
2Rs. 20,000Rs. 40,000
3Rs. 30,000Rs. 20,000
4Rs. 45,000Rs. 10,000
5Rs. 60,000Rs. 10,000
Compute the Net Present Value at 10%, Profitability Index, and Internal Rate of Return of the two projects.
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