Sir
I know you forgot your book so I will explain
Slow fashions has capital rationing and asks the IRR of the best options
The answer shows them taking the 4 best choices within allowed capex and doing the NPV of all the projects in the normal way with the discount and working out the IRR
They did however give the IRR of each project. I did a weighted average and came out with a very close figure, like theirs was 14.25 and mine was 14. is that ok method?
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Slow fashions - you don't need the book
7y ago#1I did not forget it - I do not take Revision Kits with me when I am on vacation!!
For that part of the question - yes, that is OK.
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