Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Transcribed Image Text:Consider two mutually exclusive projects A and B:
Cash Flows (dollars)
Project
Co
A
B
-39,000
-59,000
C₁
C₂
NPV at 10%
28,200
28,200
+$ 9,942
42,000
42,000
+13,893
a. Calculate IRRs for A and B.
Note: Do not round intermediate calculations. Enter
your answers as a percent rounded to 2 decimal
places.
Project
A
B
Answer is not complete.
IRR
%
%
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