Refer to the information in Exercise 11-11. Create an Excel spreadsheet to compute the internal rate of return for each of the projects. Based on internal rate of return, determine whether the company should accept either of the two projects.

In Exercise 11-11

Following is information on two alternative investments being considered by Tiger Co. The company requires a 4% return from its investments.

               ____________________________________Project X1 __________Project X2

Initial investment . . . . . . . . . . . . . . . . . . . . . . ($80,000) ................. ($120,000)

Expected net cash flows in year:

1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 25,000 ..................... 60,000

2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35,500 ..................... 50,000

3 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 60,500 ..................... 40,000