Unformatted text preview: #14 Castle Rock Medical Center expects Projects X & Y to generate cash fow. a) @13% NPV(X) = $3,184.39 NPV(Y) = $1,577.85 b) @8% NPV(X) = $4,145.94 NPV(Y) = $2,993.34 c) At each level oF cost, Project X provides a higher NPV oF choice. #15 Goodbar PracTce expects Projects 1 & 2 to generate cash fow. a) Payback(1) = 4 years Payback(2) = 3.8 years b) IRR(1) = 17.80% IRR(2) = 9.91% c) NPV(1) = $424.83 NPV(2) = ($195.22) #16 MarTn Medical expects Alpha & Beta Project to generate cash fow. a) Payback(1) = 3.64 years Payback(2) = 4 years b) IRR(1) = 24.24% IRR(2) = 7.93% c) NPV(1) = $8,333.48 NPV(2) = ($3,401.51)...
View
Full Document
 Fall '15
 Grullon
 Net Present Value

Click to edit the document details