Mega Dynamics is considering the following two projects which have a cost of capital of 11%.  What is the IRR of the Electric Car project? The cash flows for each project are given below:   WACC = 11%   Time Flying Car Electric Car 0 -180,000 -100,000 1 30,000 25,000 2 50,000 30,000 3 75,000 40,000 4 110,000 50,000   A. 13.2%   B. 13.4%   C. 14.7%   D. 14.1%

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Q: OCF

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A:

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A: Following is the answer to the question

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.