Question: Two Mutually Exclusive projects from Delta Enterprises have projected cash flows as follows: End of Year Project U Project V 0 -3500 -3500 1 2000

Two Mutually Exclusive projects from Delta Enterprises have projected cash flows as follows:

End of Year

Project U

Project V

0

-3500

-3500

1

2000

1500

2

1500

1500

3

1000

2000

4

500

2500

Requirements:

Determine the Internal Rate of Return for each Project.

Determine the net present value for each project at discount rates of 7%, 14%, and 21%.

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