Question: Your company is considering two mutually exclusive projects, X and Y, whose costs and cash flows are shown below. 1 4 Year 0 2 3

Your company is considering two mutually exclusive projects, X and Y, whose costs and cash flows are shown below. 1 4 Year 0 2 3 X (51000) 100 400 300 700 Y (51000) 1000 100 100 50 The projects are equally risky, and their cost of capital is 11 percent. Based on the modified internal rate of return, which one project is better

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