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Matterhorn Mountain Gear is evaluating two projects with the following cash flows: Year Project X Project Y wNN . $316,400 14
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Answer #1
Project X Project Y Incremental Cash Flow
0 -316400 -293800 -22600
1 147600 138050 9550
2 165100 155250 9850
3 130200 121000 9200
IRR 12.85%

Answer is 12.85%

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