Which project should be accepted

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Determine the NPV for both projects using a cost of capital of 13% 2. Determine the NPV for both projects using a cost of capital of 8% 3. At an 8% discount rate, which project should be accepted? at 13% discount rate, which project should be accepted? Explain

Given (in thousands):
Initial investment of $6,500.00
Net operating cash flows for project X - $5,000 (1YR), $3,000 (YR2), $2,000 (3), $1600 (4), $1000 (5)
Net operating cash flow for project Y - $1,000 (YR1), $1600 (2), $2000 (3), $3000 (4), 5000 (5)

Reference no: EM13263485

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