Which project would be selected on the basis of the IRR? criterion? Choose the c

Question

Which project would be selected on the basis of the IRR? criterion? Choose the correct answer below.

Project A or Project B?

Consider the two mutually exclusive investment projects given in the table below for which MARR = 12%. On the basis of the IRR criterion, which project would be selected under an infinite planning horizon with project repeatability likely? ?Click the icon to view the cash flows for the investment projects The rate of return on the incremental investment is | %. (Round to one decimal place.) More Info Net Cash Flow Project A Project B - $9,500 7,500 7,500 - $4,000 2,500 3,000 3,000 47.68% IRR 36.70% Print Done

Explanation / Answer

on the basis of IRR ,Project A should be selected since its IRR is more than IRR of project B

Project A should be selected.

Related Questions

Navigate

• Browse (All)
• Browse W
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.