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YEAR 0 1 Cash Flow (A) $43,500 $21,400 $18,500 $13,800 $7,600 Cash Flow (B) -$43,500 $6,400 $14,700 $22,800 $25,200 2 3

Posted: Mon Apr 25, 2022 8:44 am
by answerhappygod
Year 0 1 Cash Flow A 43 500 21 400 18 500 13 800 7 600 Cash Flow B 43 500 6 400 14 700 22 800 25 200 2 3 1
Year 0 1 Cash Flow A 43 500 21 400 18 500 13 800 7 600 Cash Flow B 43 500 6 400 14 700 22 800 25 200 2 3 1 (9.45 KiB) Viewed 26 times
1. Over what range of discount rates would the company choose
project A? Project B? At what discount rate would the company be
indifferent between these two projects? Explain.
Please show your answer using Excel Functions.
YEAR 0 1 Cash Flow (A) $43,500 $21,400 $18,500 $13,800 $7,600 Cash Flow (B) -$43,500 $6,400 $14,700 $22,800 $25,200 2 3 4