For accounting king only

monkeymom

 

 

  1. 1 For the given cash flows below, assume the cash flow is the same in the next 2 years. Compute the NPV for each project, and compute the incremental IRR. Compare and explain why NPV always gives the correct decision.
  1.                   Project     Initial Investment     Year 1 Cash Flow    
                            A             500,000              125,000                            
                            B             500,000              120,000  
    • 11 years ago
    • 12
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    • cap_budgeting_2.xlsx