Questions by alvis22 - Page 42
Gore Global is considering the two mutually exclusive projects below. The cash flows from the projects are summarized below. Year ManBearPig Project Cash Flow Flying Car Cash Flow 0 -$100,000 -$200,000 1 25,000 50,000 2 25,000 50,000 3 50,000 80,000 4 50,000 100,000 What is the Flying Car's internal rate of return (IRR) at a 12% cost of capital? A) 12.7% B) 14.6% C) 15.9% D) 13.0% E) 10.0%