Question: QUESTION 6 Consider the following two projects: Year 0 Year 1 Year 2 Year 3 Year 4 Project CF CF CF CF CF Cost

QUESTION 6 Consider the following two projects: Year 0 Year 1 Year

QUESTION 6 Consider the following two projects: Year 0 Year 1 Year 2 Year 3 Year 4 Project CF CF CF CF CF Cost of capital A -110 50% 50 60 10 15% B -73 30 30 30 30 15% The IRR of project A is 17.7% 23.2% 24.3% 22.9%

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