Calculate the irr, the npv, and the mirr for each project

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Question - NPVs, IRRs, and MIRRs for Independent Projects - Edelman Engineering is considering including two pieces of equipment, a truck and an overhead pulley system, in this year's capital budget. The projects are independent. The cash outlay for the truck is $19,000, and that for the pulley system is $20,000. The firm's cost of capital is 12%. After-tax cash flows, including depreciation, are as follows:

Year

Truck

Pulley

1

$5,100

$7,500

2

5,100

7,500

3

5,100

7,500

4

5,100

7,500

5

5,100

7,500

Required - Calculate the IRR, the NPV, and the MIRR for each project, and indicate the correct accept/reject decision for each. Do not round intermediate calculations.

Reference no: EM133134108

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