Question: Trenton is evaluating two mutually exclusive projects (expected cash flows shown below). The firm's cost of capital is 11 percent. Calculate the IRRs and NPV
Trenton is evaluating two mutually exclusive projects (expected cash flows shown below). The firm's cost of capital is 11 percent. Calculate the IRRs and NPV for Projects X and Y. A. For Project X, the IRR is 20.31% and the NPV is $90.37. B. For Project X, the IRR is 22.25% and the NPV is $85.14. C. For Project Y, the IRR is 21.17% and the NPV is $92.56
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