Question: You are asked to evaluate two projects. Incremental cash ows of the two projects are given in the following table. Find out the discount rate

You are asked to evaluate two projects. Incremental cash ows of the two projects are given in the following table. Find out the discount rate such that the two projects have the same NPV. year 0 1 2 A -100 90 40 B -120 100 55

A. 11.34% B. 15.14% C. 16.88% D. 19.22% E. 8.92%

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