FINANCE- Light Sweet Petroleum, Inc., is trying to evaluate a generation project
by ella | Aug 20, 2025 | Business
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Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows:
|
| Year |
Cash Flow |
| 0 |
–$ |
38,400,000 |
|
| 1 |
|
62,400,000 |
|
| 2 |
– |
11,400,000 |
|
| a-1 |
What is the NPV for the project if the company requires a return of 10 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
|
| a-2 |
Should the firm accept this project? |
|
|
|
|
| b. |
This project has two IRR’s, namely percent and percent, in order from smallest to largest. (Note: If you can only compute one IRR value, you should input that amount into both answer boxes in order to obtain some credit.) (Negative amount should be indicated by a minus sign. Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)
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