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The Projected Cash Flows for Two Mutually Exclusive Projects Are

Question 70

Multiple Choice

The projected cash flows for two mutually exclusive projects are as follows: The projected cash flows for two mutually exclusive projects are as follows: If the cost of capital is 10%, the decidedly more favorable project is: A) project B with an NPV of $39,539 and an IRR of 19.9%. B) project A with an NPV of $5,230 and an IRR of 10.8%. C) project A with an NPV of $39,539 and an IRR of 10.8%. D) project B with an NPV of $5,230 and an IRR of 19.9%. If the cost of capital is 10%, the decidedly more favorable project is:


A) project B with an NPV of $39,539 and an IRR of 19.9%.
B) project A with an NPV of $5,230 and an IRR of 10.8%.
C) project A with an NPV of $39,539 and an IRR of 10.8%.
D) project B with an NPV of $5,230 and an IRR of 19.9%.

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