Kizspy | Question: 25 (Choose 1 answer)
Year Project A Project B
0
You are considering two mutually exclusive projects with the follwing cash flows. Calculate IRR and NPV and compare them. Which project should you accept if the discount rate is 8.5%?
-50,000 -5,000
1 15,000 3.000
2 25,000 2,000
3
20,000 2,500
A. You should accept project A and reject project B.
B. You should reject both projects.
C. You should accept project B and reject project A.
