Your division is considering two projects with the following cash flows (in millions): 0 1 2 3 Project A -$17 $8 $8 $3 Project B -$26 $13 $10 $9 What are...

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Finance

Your division is considering two projects with the followingcash flows (in millions):

0123
Project A-$17$8$8$3
Project B-$26$13$10$9
  1. What are the projects' NPVs assuming the WACC is 5%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.
    Project A:    $   million
    Project B:    $   million

    What are the projects' NPVs assuming the WACC is 10%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.
    Project A:  $   million
    Project B:  $   million

    What are the projects' NPVs assuming the WACC is 15%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.
    Project A:  $   million
    Project B:  $   million

  2. What are the projects' IRRs assuming the WACC is 5%? Do notround intermediate calculations. Round your answer to two decimalplaces.
    Project A:    %
    Project B:    %

    What are the projects' IRRs assuming the WACC is 10%? Do notround intermediate calculations. Round your answer to two decimalplaces.
    Project A:    %
    Project B:    %

    What are the projects' IRRs assuming the WACC is 15%? Do notround intermediate calculations. Round your answer to two decimalplaces.
    Project A:    %
    Project B:    %

  3. If the WACC was 5% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)
    -Select-Project AProject BNeither A, nor BItem 13

    If the WACC was 10% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)
    -Select-Project AProject BNeither A, nor BItem 14

    If the WACC was 15% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)
    -Select-Project AProject BNeither A, nor BItem 15

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Your division is considering two projects with the followingcash flows (in millions):0123Project A-$17$8$8$3Project B-$26$13$10$9What are the projects' NPVs assuming the WACC is 5%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.Project A:    $   millionProject B:    $   millionWhat are the projects' NPVs assuming the WACC is 10%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.Project A:  $   millionProject B:  $   millionWhat are the projects' NPVs assuming the WACC is 15%? Enter youranswer in millions. For example, an answer of $10,550,000 should beentered as 10.55. Negative values, if any, should be indicated by aminus sign. Do not round intermediate calculations. Round youranswer to two decimal places.Project A:  $   millionProject B:  $   millionWhat are the projects' IRRs assuming the WACC is 5%? Do notround intermediate calculations. Round your answer to two decimalplaces.Project A:    %Project B:    %What are the projects' IRRs assuming the WACC is 10%? Do notround intermediate calculations. Round your answer to two decimalplaces.Project A:    %Project B:    %What are the projects' IRRs assuming the WACC is 15%? Do notround intermediate calculations. Round your answer to two decimalplaces.Project A:    %Project B:    %If the WACC was 5% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)-Select-Project AProject BNeither A, nor BItem 13If the WACC was 10% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)-Select-Project AProject BNeither A, nor BItem 14If the WACC was 15% and A and B were mutually exclusive, whichproject would you choose? (Hint: The crossover rate is20.19%.)-Select-Project AProject BNeither A, nor BItem 15

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