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NEW QUESTION: 1
Green Grocers is deciding among two mutually exclusive projects. The two projects have the following cash flows:
Project A Project B
Time Cash Flows Cash Flows
0-$50,000-$30,000
110,000 6,000
215,000 12,000
340,000 18,000
420,000 12,000
The company's cost of capital is 10 percent (WACC = 10%). What is the net present value (NPV) of the project with the highest internal rate of return (IRR)?
A. $8,360
B. $12,510
C. $15,200
D. $11,450
E. $7,090
Answer: C
Explanation:
Explanation/Reference:
Explanation:
NPV(A) = $15,200; IRR(A) = 21.3811%.
NPV(B) = $7,092; IRR(B) = 19.2783%.
Project A has the highest IRR, so the answer is $15,200.
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Answer:
Explanation:
NEW QUESTION: 3
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A. closure categorization value
B. user satisfaction survey results
C. incident documentation
D. ongoing or recurring problem records
Answer: C
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