Question: Yuli is analyzing the following two mutually exclusive projects and has developed the following cash flow information. What is the crossover rate? Year Project A

Yuli is analyzing the following two mutually exclusive projects and has developed the following cash flow information. What is the crossover rate?

Year

Project A

Project B

0

-$92,900

-$66,500

1

$31,000

$18,000

2

$35,000

$27,000

3

$42,000

$31,000

a.

9.69%

b.

10.02%

c.

8.70%

d.

8.39%

e.

10.66%

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