question archive A company considers the following independent investments: I0 VAN net present value project 1 120,000 $ 150,000 18% 2 150,000$ -54,500 9% 3 100,000$ 84,600 21% 1- The cost of capital of the business is 12%
Subject:AccountingPrice:4.86 Bought11
A company considers the following independent investments:
I0 VAN net present value project
1 120,000 $ 150,000 18%
2 150,000$ -54,500 9%
3 100,000$ 84,600 21%
1- The cost of capital of the business is 12%. You are asked to say which projects you accept according to the NPV? According to the TIR?
2- If the projects were mutually exclusive, which project do you recommend? Why?
Purchased 11 times