Problem:
Handy Enterprises has gathered projected cash flows for two projects. Year Project I Project J 0 -$263,000 -$263,000 1 113,700 92,800 2 105,600 100,300 3 89,600 102,300 4 78,600 109,300
Requirement:
Question: At what interest rate would the company be indifferent between the two projects?
Note: Please answer in proper manner and show all computations