1. If projects are mutually excusive, only one project can be chose. The internal rate of return (IRR) and the net present value (NPV) methods will not alwyas choose the same project. If the crossover rate on the NPV profile is below the horizontal axis, the methods will _____________ agree. (a. always, b. never, c. sometimes)

2. Projects Y and Z are mutually exclusive projects. Their cash flows and NPV profiles are shown as follows:

Year	Project Y	Project z
0	-$1,500	-$1,500
1	$200	$900
2	$400	$600
3	$600	$300
4	$1,000	$200

If the weighted average cost of capital (WACC) for each project is 14%, do the NPV and IRR methods agree or conflict?

a. The methods conflict b. The methods agree