Question: You are presented with 6 projects. All projects are 7-year projects. NPV Net present value. IRR= internal rate of return. MIRR = modified internal rate
You are presented with 6 projects. All projects are 7-year projects. NPV Net present value. IRR= internal rate of return. MIRR = modified internal rate of return. PI = profitability index. Project G Project C $34,884 Project D $26,496 Project F $164,307 Project B Project A ($13,434) 10.71% $19,917 NPV $2,834 39.14% 19.27% 52.80% IRR= 24.03% 14.35% 11.88% 32.18% 31.73% 16.54% MIRR= 16.88% 14.21% 0.91 2.10 2.06 1.12 Pl= 1.13 1.01 If all projects are independent, which project or projects should be selected using the MIRR rule? The discount rate (r) is 14%. A. B, and F B, D and F A, B and G D A, B, and D F
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