You are choosing between two projects. The cash flows for the projects are given in the following table ($ million):
Project |
Year 0 |
Year 1 |
Year 2 |
Year 3 |
Year 4 |
A |
negative $ 49−$49 |
$ 27$27 |
$ 19$19 |
$ 19$19 |
$ 17$17 |
B |
negative $ 101−$101 |
$ 21$21 |
$ 42$42 |
$ 48$48 |
$ 62$62 |
a. What are the IRRs of the two projects?
b. If your discount rate is 4.9%,
what are the NPVs of the two projects?
c. Why do IRR and NPV rank the two projects differently?
You are choosing between two projects. The cash flows for the projects are given in the...
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project Year 0 - $49 - $101 Year 1 $26 $18 Year 2 $19 $42 Year 3 $21 $52 Year 4 $17 $61 a. What are the IRRs of the two projects? b. If your discount rate is 5.2%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently? a. What...
You are choosing between two projects. The cash flows for the projects are given in the following table (S million): Project A Year 0 Year 1 Year 2 Year 3 Year 4 $25 $22 -$49 -$98 $19 $48 $17 $60 B $20 $42 a. What are the IRRS of the two projects? b. If your discount rate is 4.6%, what are the NPVS of the two projects? c. Why do IRR and NPV rank the two projects differently? a. What...
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Year 1 Year 2 Year 3 Year 4 Project A Year 0 - $50 - $100 $27 $19 $18 $38 $21 $49 $17 $58 В a. What are the IRRS of the two projects? b. If your discount rate is 4.8%, what are the NPVS of the two projects? c. Why do IRR and NPV rank the two projects differently?
You are choosing between two projects. The cash flows for the projects are given in the following table ($ milion); Project Year Year 2 Year o -$48 - $101 Year 3 $21 $50 Year 4 $14 $27 $20 $40 $62 Tes a What are the IRRs of the two projects? b. If your discount rate is 4.7%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently? a. What are the...
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project Year 0 Year 1 Year 2 Year 3 Year 4 A −$49 $25 $19 $22 $14 B $99 $21 $42 $51 $61 a. What are the IRRs of the two projects? b. If your discount rate is 5.1%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently?
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project Year 0 Year 1 Year 2 Year 3 Year 4 A negative $ 48−$48 $ 27$27 $ 21$21 $ 21$21 $ 13$13 B negative $ 98−$98 $ 22$22 $ 39$39 $ 48$48 $ 60$60 a. What are the IRRs of the two projects? b. If your discount rate is 4.6 %4.6%, what are the NPVs of the two projects?...
You are choosing between two projects. The cash flows for the projects are given in the following table (S million): Year 0 - $48 -$101 Year 1 $25 $21 Year 2 $21 $38 Year 3 $19 $49 Year 4 $13 $58 Project s of the two projects? a. What are the IRR b. If your discount rate is 5.2%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently?
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project A Year 0 - $48 -$101 Year 1 $23 $20 Year 2 $20 $41 Year 3 $21. $50 Year 4 $13 $59 a. What are the IRRs of the two projects? b. If your discount rate is 5.2%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently? a. What...
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project Year 0 Year 1 Year 2 Year 3 Year 4 - $50 $18 $19 $17 - $101 $21 $40 $51 $26 $59 a. What are the IRRs of the two projects? b. If your discount rate is 5.1%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently? a. What...
You are choosing between two projects. The cash flows for the projects are given in the following table ($ million): Project Year 0 Year 1 Year 2 Year 3 Year 4 A −$50 $25 $21 $18 $16 B n−$98 $19 $38 $52 $59 a. What are the IRRs of the two projects? b. If your discount rate is 4.9%, what are the NPVs of the two projects? c. Why do IRR and NPV rank the two projects differently?