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If the opportunity cost of capital of 4%, Following information relate to the cash flow of below three projects proposals.   Project Year: 0 1 2 3 X -$40,000 +20,000 +18,000 +25,000 Y   -$65,000 +15,000 +30,000 +35,000 Z   -70000 25,000 25,000 30,000 ِِA.If the discount rate 4%, which project will be acceptable under the discount payback period?   B. With help of scientific calculator or excel program, calculate the IRR for project X and Y?

If the opportunity cost of capital of 4%, Following information relate to the cash flow of below three projects proposals.   Project Year: 0 1 2 3 X -$40,000 +20,000 +18,000 +25,000 Y   -$65,000 +15,000 +30,000 +35,000 Z   -70000 25,000 25,000 30,000 ِِA.If the discount rate 4%, which project will be acceptable under the discount payback period?   B. With help of scientific calculator or excel program, calculate the IRR for project X and Y?

Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 6PA: There are two projects under consideration by the Rainbow factory. Each of the projects will require...
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  1. If the opportunity cost of capital of 4%, Following information relate to the cash flow of below three projects proposals.

 

Project

Year: 0

1

2

3

X

-$40,000

+20,000

+18,000

+25,000

Y

 

-$65,000

+15,000

+30,000

+35,000

Z

 

-70000

25,000

25,000

30,000

ِِA.If the discount rate 4%, which project will be acceptable under the discount payback period?

 

B. With help of scientific calculator or excel program, calculate the IRR for project X and Y?

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