Rank the project using npv and irr


Two mutually exclusive projects, each with a cost of capital of 15%, have the following free cash flows:

Year Project A Project C

0 $(100,000) $(20,000)
1 40,000 2,000
2 20,000 15,000
3 10,000 20,000

Rank these project using NPV and IRR.

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Finance Basics: Rank the project using npv and irr
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