This document compares two projects, Project A and Project B, using net present value (NPV) and internal rate of return (IRR) calculations at various discount rates. Project B has a higher NPV than Project A at all discount rates shown and is identified as the feasible project. A graph shows the output over time is higher for Project B.

1. Disc Rate
15
Project A Project B
-500 -500
420 780
420 780
420 780
420 780
420 780
NPV (29.50) (28.00)
IRR Err:523 Err:523
Feasible Project : B

2. Project A Project B
-1000 -1000
420 420
410 430
300 520
250 620
0 630
-100 650
IRR Err:523 Err:523
NPV 15% (60.75) (60.75)
NPV14% (64.67) (64.66)
NPV 13% (69.13) (69.11)
NPV12% (74.24) (74.22)
NPV 11% (80.16) (80.14)
NPV 10% (87.11) (87.08)
Feasible Project: B Feasible Projects
700
600
Discount Rate:
500
15
14 400
13 300
Output
12 Column B
200
11 Column C
10 100
0
-100
-200
Row 7 Row 8 Row 9 Row 10 Row 11 Row 12
Years