IRR | Acceptable | |
Project X1 | 21.38% | Yes |
Project X2 | 9.85% | Yes |
Workings: | ||
Project X1 | Project X2 | |
Now | -128000 | -216000 |
Year 1 | 49000 | 96000 |
Year 2 | 59500 | 86000 |
Year 3 | 84500 | 76000 |
IRR | 21.38% | 9.85% |
Using function = IRR() and selecting all cash flows, we can calculate IRR in excel. |
any help on this would be great Saved Following is information on two alternative investments being...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 7% return from its investments. Project X1 Project X2 Initial investment $ (106,000 ) $ (172,000 ) Expected net cash flows in: Year 1 38,000 79,500 Year 2 48,500 69,500 Year 3 73,500 59,500 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 7% return from its investments. Project x1 $(126,000) Project x2 $(212,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 48,000 58,500 83,500 94,500 84,500 74,500 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to 2 decimal places.) IRR...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 7% return from its investments. Project X1 $ (126,000) Project X2 Initial investment $ (212,000) Expected net cash flows in 94,500 84,500 Year 1 48,000 Year 2 58,500 83,500 74,500 Year 3 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to 2 decimal...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 7% return from its investments Project X1 $ (116,000) Project X2 (192,000) Initial investment Expected net cash flows in year: 43,000 53,500 78,500 87,000 1 2 77,000 67,000 3 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to 2 decimal places.) Acceptable? IRR...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 8% return from its investments Project x1 $(1080) Project x2 $(176,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 39,000 49,500 74,500 81.000 71.888 61, Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable. (Round your answers to 2 decimal places.) IRR...
Exercise 25-13A Internal rate of return LO P4 Following is information on two alternative investments being considered by Tiger Co. The company requires a 7% return from its investments Project X1 s (86,e00) Project X2 $(132,000) Initial investment Expected net cash flows in year: 28,000 38,500 63,500 64,500 54,500 44,500 2 Compute the internal rate of return for each of the projects using excel functions and based on internal rate of return, indicate whether each project is acceptable. (Round your...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 6% return from its investments. Project X1 Project X2 Initial investment $ (94,000 ) $ (148,000 ) Expected net cash flows in: Year 1 32,000 70,500 Year 2 42,500 60,500 Year 3 67,500 50,500 Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project is acceptable.
Check my work Exercise 24-13A Internal rate of return LO P4 Following is information on two alternative investments being considered by Tiger Co. The company requires a 4% return from its investments. points Project x1 $(80,000) Project x2 $(120,000) eBook Initial investment Expected net cash flows in year: Print 25,000 35,500 60,500 60,000 50,000 40,000 References Compute the internal rate of return for each of the projects using Excel functions. Based on internal rate of return, indicate whether each project...
Exercise 26-17A Using Excel to compute IRR LO P4 Following is information on two alternative investments being considered by Jolee Company. The company requires a 11% return from its investments. Project A $(162, 000) Project B $(107,000) Initial investment Expected net cash flows in: Year 1 Year 2 Year 3 Year 4 Year 5 40, 500 56, 500 80, 795 90, 900 65,500 32,500 50, 500 66, 500 66,500 66,500 Compute the internal rate of return for each of the...
Following is information on two alternative investments being considered by Tiger Co. The company requires a 6% return from its investments. (PV of $1, FV of $1, PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Project X1 $ (84,000) Project X2 $ (128,000) Initial investment Expected net cash flows in year: 27,000 37,500 62,500 63,000 53,000 43,000 a. Compute each project's net present value. b. Compute each project's profitability index. If the company can...