Answer Happy

answer e-i only
You have two mutually-exclusive projects. A do-nothing" option is available. The first project (P1) has an initial investment of 17.2 million Czech crowns (CZK), and the first year's positive cash flow of 25.4 million CZK. The second year cash flow is a positive 5.2 million CZK. The second project (P2) has an initial cash flow in year 0 of a negative 202 million CZK The first year cash flow is a positive 362 million CZK. The second year cash flow is a negative 3.2 million CZK MARR is 18%. 5147900 CZK (a) The Annual Equivalent Worth of the first project (P1) is Positive • 5224500 CZK (b) The Annual Equivalent Worth of the second project (P2) is Positive . ke the internal Rate of Return of P1 is 65.89 % on the internal Rate of Return of P2 is 69.89 en the cashows for the incremental investment P2-P1 are: For Near GEK orang ed and DIRKO rema Barnvalent Worth of the incremental investment P2-P1 is: CZK The areak even interest rates for the incremental investment P2-P1 are as follows. The smaller of the two rates i, *= 18 and the larger of the two rates 12*= c. Please note that if you are using the built-in function in spreadsheet software to find these rates, you can apply a guess of 2095 for the first rate (1,9) and 100% for The second nated he interne Rate of Retum of the incremental Investment PR-P1 is 96. Please note that the "true" !RR We not ene hohe break-even interest rates You can refer to Lecture 22 material including the Video Example E22. Based on the barementar anasses using the Award RR enteria, project should be choses Note Please enter your answers to two datimal places using the interest factor method, copy the value of the factor as breeded a neprediderich old for decimal Places