Question: Your firm is looking at two mutually exclusive projects. Project X has an NPV of $550,000 and an IRR of 14.5%. Project Y has an
- Your firm is looking at two mutually exclusive projects. Project X has an NPV of $550,000 and an IRR of 14.5%. Project Y has an NPV of $650,000 and an IRR of 16.8%. Your firm's required rate of return is 12.5%. Which of these projects would you accept (could be either, both, or one particular project -- be specific). WHY is that your decision?
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