Question

CHAPTER 8 GRADED HOMEWORK A Saved 00 Consider the following two mutually exclusive projects: Year 0 10 points Cash Flow (X) Cash Flow (Y) -$23,900 -$23,900 13,100 9,300 9,480 10,620 7,890 11,180 ( 8 00:16:33 eBook a. What is the IRR of Project X? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g. 32.16.) b. What is the IRR of Project Y? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) c. What is the crossover rate for these two projects? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Hint References a. IRR b. IRR c. Crossover rate

Answer 1

А в с 3 year 0 1 2 Project Project Y Cash flows Cash flows -$23,900 $23,900 $13,100 $9,300 $9,480 $10,620 $7,890 $11,180 14.58% 13.94% IRR(B4:B7) IRR(C4:07) 8 IRR Difference in cash flows year Project Project Y Cash flows Cash flows $23,900 $23,900 $13,100 $9,300 $9,480 $10,620 $7,890 $11,180 1 2 173 $0 $3,800 -$1,140 -$3,290 9.25% IRR(D14:017) Crossover rate