1. Problem 11.06 (NPV)

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Problem Walk through

Your division is considering two projects with the following cash flows (

Project A

Project B

-$21

-$35

10

$20

s. What are the projects NPV assuming the WACC is 57 Enter your answer in milions. For example, an answer of $10,550,000 should be entered as 10.55. Negative values, if any,

should be indicated by a minus sign. De not round intermediate calculations. Round your answer to two decimal places.

Project A

million

Project

milion

What are the projects NPVs assuming the WACC is 10%7 Enter your answer in milions for example, an awer of $10,550,000 should be entered as 10.55. Negative values, if any,

should be indicated by a minus sign. De not round entermediate calculations. Round your answer to two decimal places

Project A

Project B

milion

What are the projects PVs assuming the WACC is 15%? Enter your answer in milions. For example, an aner of $10,550,000 should be entered as 10.55. Negative values, if any,

should be indicated by a minus sign. De not round intermediate calculations. Round your answer to two decimal places.

Project A

milion

milion

Project:

b. What are the projects IRRs assuming the WACC is 5%? Do not round intermediate calculations. Round your answer to two decimal places

Project A

4

Project B

T