Which projects should the company accept? Check all that apply: Project C Project A Project B Submit

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
Intro
Office Min is considering several risk-free projects:
Project Initial cash flow Cash flow in 1 year
A
-8,100
9,720
-4,000
4,200
-6,500
7,475
B
C
The risk-free interest rate is 10%.
Part 1
What is the NPV of project A?
0+ decimals
Submit
Part 2
What is the NPV of project B?
0+ decimals
Submit
Part 3
What is the NPV of project C?
0+ decimals
Submit
Part 4
Which projects should the company accept?
Check all that apply:
O Project C
Project A
Project B
Submit
Transcribed Image Text:Intro Office Min is considering several risk-free projects: Project Initial cash flow Cash flow in 1 year A -8,100 9,720 -4,000 4,200 -6,500 7,475 B C The risk-free interest rate is 10%. Part 1 What is the NPV of project A? 0+ decimals Submit Part 2 What is the NPV of project B? 0+ decimals Submit Part 3 What is the NPV of project C? 0+ decimals Submit Part 4 Which projects should the company accept? Check all that apply: O Project C Project A Project B Submit
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