A company is analyzing tw

A company is analyzing tw

A company is analyzing two mutually exclusive projects, S and L, with the following cash flows:years 0—–1———2——–3——–4Project S -1000 $900 $250 $10 $10Project L -1000 $0 $250 $400 $800The company’s WACC is 10 percent. What is the IRR of the better project? (Hint: Note that the better project may or may not be the one with the higher IRR.)

%d bloggers like this: