Question: Quantitative Problems Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects'

 Quantitative Problems Bellinger Industries is considering two projects for inclusion in

Quantitative Problems Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects' after-tax cash Nows are shown on the time line below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all Induded in these cash flows. Both projects have 4-year lives, aod they have risk characteristics similar to the firm's average project. Belinger's WACC is 10% 2 0 1 370 Project A Projects -950 .950 550 150 220 370 305 360 810 What is Project A's ERR? Do not found intermediate calculations. Round your answer to two decimal places What is Project t's TAK? do not round Intermediate calculations. Round your answer to two decimal places. If the projects were independent, which project(s) would be accepted according to the method? 11 the projects were mutually exclusive, which project(s) would be accepted according to the IRR method could there be a conflict with project acceptance between the NPV and THR approaches when projects are mutually exclusive? The reason is Reinvestment at the tea is the superior assumption, so when mutually exclusive projects are evaluated the proach should be used for the capital budgeting decision

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