Identify the projected value of the npv under each wacc

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Reference no: EM133328185

Case: Jackson Winarto is a division head who is considering two projects. He estimates three kinds of WACC assumptions, namely 5%, 12%, and 18%. The following is the cash flow value (in millions) of each project that Jackson is considering:

	Year 0	Year 1	Year 2	Year 3
Project Alfa	(IDR 30)	IDR 6	IDR 13	IDR 19
Project Beta	(IDR 25)	IDR 11	IDR 12	IDR 8

Based on this information, help Jackson to:

Question 1: Identify the projected value of the NPV under each WACC assumption.

Question 2: Identify the IRR projected value in each WACC assumption.

Question 3: Choose projects that need to be taken on each WACC assumption, with additional information in the form of mutually exclusive project properties.

Reference no: EM133328185

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