Question: 25. Anderson Systems is now considering two mutually exclusive projects that have the following cash flow and WACC data. WACC:12.00% Project A Year 0123 Cash

25.Anderson Systems is now considering two mutually exclusive projects that have the following cash flow and WACC data.

WACC:12.00%

Project A

Year0123

Cash flows-$1,600$800$800$800

Project B

Year0123

Cash flows-$1,000$525$525$525

a.Calculate NPV for each project.

b.Calculate IRR for each project.

c.Which project should get approved?

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