Which one would you choose according to npv

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Reference no: EM131928178

NPV Profiles:

Discount Rate                                 NPV Project 1                                 NPV Project 2

0%                                                      $20                                                    $40

5%                                                      12                                                       21

10%                                                    4                                                         5

15%                                                    -2                                                        8

20%                                                    -8                                                        19

25%                                                    -20                                                      28

Required Rate of Return: 9%

a. According to IRR, which project would you choose no matter the opportunity cost?

b. At a discount rate of 9%, which one would you choose according to NPV?

Reference no: EM131928178

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