Question: Consider projects A and B Cash Flows (dollars) Project C 0 C 1 C 2 NPV at 11% A 32,000 22,600 22,600 + $6,703 B
Consider projects A and B
| Cash Flows (dollars) | |||||
| Project | C0 | C1 | C2 | NPV at 11% | |
| A | 32,000 | 22,600 | 22,600 | + | $6,703 |
| B | 52,000 | 35,000 | 35,000 | + | 7,938 |
Calculate IRRs for A and B. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)
| Project | IRR |
| A | % |
| B | % |
| Which project does the IRR rule suggest is best? | ||
| Project A or Project B?
| ||
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