PLEASE DO THIS COMPLETELY AND TYPEWRITTEN. I WILL UPVOTE. ELABORATE ON THE ANSWERS. SKIP THIS IF YOU HAVE ALREADY DONE THIS 1. A company is evaluating two projects, A and B. The company's cost of capital has been determined to be12% and the projects have the following investments and cash flow.Initial InvestmentCash Flow112Project A100,000.0040,000.0050,000.0020,000.0020,000.00234What is the net present value of Project A?A. P 9,637.75B. P 13,725.40What is the net present value of Project B?B. P 32,751.19A. P 18,365.24C. P 20,216.84C. P 59,992.84Project B90,000.0067,500.0078,750.0020,000.0020,000.00D. P 56,800.00D. P 86,250.00

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1. A company is evaluating two projects, A and B. The company's cost of capital has been determined to be 12% and the projects have the following investments and cash flow. Initial Investment Cash Flow 1 2 3 4 Project A 100,000.00 40,000.00 50,000.00 20,000.00 20,000.00 What is the net present value of Project A? A. P 9,637.75 B. P 13,725.40 What is the net present value of Project B? B. P 32,751.19 A. P 18,365.24 C. P 20,216.84 C. P 59,992.84 Project B 90,000.00 67,500.00 78,750.00 20,000.00 20,000.00 D. € 56,800.00 D. P 86,250.00

1. A company is evaluating two projects, A and B. The company's cost of capital has been determined to be 12% and the projects have the following investments and cash flow. Initial Investment Cash Flow 1 2 3 4 Project A 100,000.00 40,000.00 50,000.00 20,000.00 20,000.00 What is the net present value of Project A? A. P 9,637.75 B. P 13,725.40 What is the net present value of Project B? B. P 32,751.19 A. P 18,365.24 C. P 20,216.84 C. P 59,992.84 Project B 90,000.00 67,500.00 78,750.00 20,000.00 20,000.00 D. € 56,800.00 D. P 86,250.00

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter12: Capital Budgeting: Decision Criteria

Section: Chapter Questions

Problem 13P

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1. A company is evaluating two projects, A and B. The company's cost of capital has been determined to be 12% and the projects have the following investments and cash flow. Initial Investment Cash Flow 1 2 3 4 1. What is the net present value of Project A? B. P 13,725.40 A. P 9,637.75 Project A 100,000.00 40,000.00 50,000.00 20,000.00 20,000.00 2. What is the net present value of Project B? A. P 18,365.24 B. P 32,751.19 C.P 20,216.84 C. P 59,992.84 Project B 90,000.00 67,500.00 78,750.00 20,000.00 20,000.00 D. P 56,800.00 D. P 86,250.00
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1. A company is evaluating two projects, A and B. The company's cost of capital has been determined to be 12% and the projects have the following investments and cash flow. Initial Investment Cash Flow 1 2 3 4 Project A 100,000.00 40,000.00 50,000.00 20,000.00 20,000.00 1. What is the net present value of Project A? B. P 13,725.40 A. P 9,637.75 2. What is the net present value of Project B? A. P 18,365.24 B. P 32,751.19 C. P 20,216.84 C. P 59,992.84 Project B 90,000.00 67,500.00 78,750.00 20,000.00 20,000.00 D. P 56,800.00 D. P 86,250.00
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