Question
In: Finance
Year Cash Flow (X) Cash FLow (Y) 0 -23000 -23000 1 10490 12000 2 10900 9360...
| Year | Cash Flow (X) | Cash FLow (Y) |
| 0 | -23000 | -23000 |
| 1 | 10490 | 12000 |
| 2 | 10900 | 9360 |
| 3 | 10500 | 10400 |
Calculate the IRR for each project.
What is the crossover rate for these two projects?
Solutions
Expert Solution
Solution :
The IRR of project X is = 18.29 %
The IRR of project Y is = 18.62 %
The crossover rate for these two projects is = 8.11 %
Please find the attached screenshots of the excel sheet containing the detailed calculation for the solution.
jeff jeffy answered 1 year agoRelated Solutions
Consider the following two mutually exclusive projects: Year Cash Flow (X) Cash Flow (Y) 0...
Consider the following two
mutually exclusive projects:
Year
Cash Flow
(X)
Cash Flow
(Y)
0
–$
19,400
–$
19,400
1
8,700
9,800
2
8,800
7,650
3
8,650
8,550
Calculate the IRR for each project. (Do not round
intermediate calculations. Enter your answers as a percent rounded
to 2 decimal places, e.g., 32.16.)
IRR
Project X
%
Project Y
%
What is the crossover rate for these two projects? (Do
not round intermediate calculations. Enter your answer...
Consider the following two mutually exclusive projects: Year Cash Flow (X) Cash Flow (Y) 0 –$...
Consider the following two mutually exclusive projects:
Year
Cash Flow (X)
Cash Flow (Y)
0
–$
23,000
–$
23,000
1
10,490
12,000
2
10,900
9,360
3
10,500
10,400
Calculate the IRR for each project. (Do not round
intermediate calculations and enter your answers as a percent
rounded to 2 decimal places, e.g., 32.16.)
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.,...
Consider the following two mutually exclusive projects: Year Cash Flow (X) Cash Flow (Y) 0 –$...
Consider the following two mutually exclusive projects:
Year
Cash Flow
(X)
Cash Flow
(Y)
0
–$
20,900
–$
20,900
1
9,075
10,550
2
9,550
8,025
3
9,025
8,925
A) Calculate the IRR for each project
B)
What is the crossover rate for these two projects?
C) What is the NPV of Projects X and Y at discount rates of 0
percent, 15 percent, and 25 percent?
Consider the following two mutually exclusive projects: Year Cash Flow (X) Cash Flow (Y) 0 -$23,400...
Consider the following two mutually exclusive projects:
Year
Cash Flow (X)
Cash Flow (Y)
0
-$23,400
-$23,400
1
$13,100
$9,200
2
$9,480
$10,620
3
$7,890
$11,180
Sketch the NPV profiles for X and Y over a range of discount
rates from 0 to 25 percent. What is the crossover rate for these
two projects?
Here is project Y: The cash flow in year 0 is negative $23,000. The cash flow...
Here is project Y:
The cash flow in year 0 is negative
$23,000.
The cash flow in year 1 is $32,000.
The cash flow in year 2 is $26,000.
The cash flow in year 3 is negative
$12,000.
Here is project Z:
The cash flow in year 0 is negative
$42,000.
The cash flow in year 1 is $58,000.
The cash flow in year 2 is $39,000.
The cash flow in year 3 is negative
$35,000.
Your decision rule is...
Consider the following two projects: Project Year 0 Cash Flow Year 1 Cash Flow Year 2...
Consider the following two projects:
Project
Year 0
Cash Flow
Year 1
Cash Flow
Year 2
Cash Flow
Year 3
Cash Flow
Year 4
Cash Flow
Discount Rate
A
-100
40
50
60
N/A
.15
B
-73
30
30
30
30
.15
Assume that projects A and B are mutually exclusive. The correct
investment decision and the best rational for that decision is
to:
Group of answer choices
a.invest in project A since NPVB < NPVA.
b.invest in project B...
solve y' +(x+2/x)y =(e^x)/x^2 ; y(1)=0
solve
y' +(x+2/x)y =(e^x)/x^2 ; y(1)=0
Solve x′=x−8y, y′=x−3y, x(0)=2, y(0)=1
Solve x′=x−8y, y′=x−3y, x(0)=2, y(0)=1
Solve the following differential equations: 1.) y"(x)+ y(x)=4e^x ; y(0)=0, y'(0)=0 2.) x"(t)+3x'(t)+2x(t)=4t^2 ; x(0)=0, x'(0)=0
Solve the following differential equations:
1.) y"(x)+ y(x)=4e^x ; y(0)=0, y'(0)=0
2.) x"(t)+3x'(t)+2x(t)=4t^2 ; x(0)=0, x'(0)=0
Let f(x,y)= (3/2)(x^2+y^2 ) in 0≤x≤1, 0≤y≤1. (a) Find V(X) (b) Find V(Y)
Let f(x,y)= (3/2)(x^2+y^2 ) in 0≤x≤1, 0≤y≤1.
(a) Find V(X)
(b) Find V(Y)
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