Question: Your firm is considering two equally risky projects, Alpha and Beta, with the incremental cash flows listed in the table below. The WACC is 12.00%
Your firm is considering two equally risky projects, Alpha and Beta, with the incremental cash flows listed in the table below. The WACC is 12.00% .
A. What is the NPV of each project? Round to the nearest dollar.
B. What is the MIRR of the better project? Record your answer in percentage and to two decimal places.
Year 0 1 2 Project Alpha -500,000 -10,000 200.000 300.000 200.000 150.000 -100,000 Project Beta -500,000 200,000 -40.000 300,000 40,000 150,000 75,000 3 4 in 6
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