The AAA company has potential investment projects X and Y. These are mutually exclusive projects.
Project X has a net present value (NPV) of +$500,000 and an internal rate of return (IRR) of 16%.
Project Y has a net present value (NPV) of +$240,000 and an internal rate of return (IRR) of 24%.
The correct decision for the company is to _____.
accept only project X
accept only project Y
accept project X and accept project Y
reject project X and reject project Y
accept only project X This is because it has a more positive net present value compared to the project Y. A... View the full answer