The cash flows and initial investment for two different projects are given below Calculate the internal rate of return for the projects. Based on IRR identify which project should be accepted. (Higher rate take value between 18% & 20%. Years Project X Project Y 130,000 85,000 25,000 40,000 2 35,000 35,000 3 45,000 30,000 50,000 10,000 5 55,000 5,000 Cost of capital 12% 12%

Structural Analysis
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The cash flows and initial investment for two different projects are given below.
Calculate the internal rate of return for the projects. Based on IRR identify which
project should be accepted. (Higher rate take value between 18% & 20%.
Years
Project X Project Y
130,000 85,000
1
25,000 40,000
2
35,000 35,000
3
45,000 30,000
4
50,000 10,000
5
55,000 5,000
Cost of capital 12%
12%
Transcribed Image Text:The cash flows and initial investment for two different projects are given below. Calculate the internal rate of return for the projects. Based on IRR identify which project should be accepted. (Higher rate take value between 18% & 20%. Years Project X Project Y 130,000 85,000 1 25,000 40,000 2 35,000 35,000 3 45,000 30,000 4 50,000 10,000 5 55,000 5,000 Cost of capital 12% 12%
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