Question: You are evaluating two projects with the following cash flows: Year Project X Project Y 0 $553,200 $521,400 1 217,600 207,300 2 227,500 217,100 3

You are evaluating two projects with the following cash flows:

Year Project X Project Y
0 $553,200 $521,400
1 217,600 207,300
2 227,500 217,100
3 234,700 225,000
4 194,400 185,800

What is the crossover rate for these two projects?

Multiple Choice

  • 22.23%

  • 9.88%

  • .72%

  • 8.98%

  • 21.51%

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