Cummings Products is considering two mutually exclusive investments whose expected net cash flows are as follows:
	Expected Net Cash Flows
	Year	Project A	Project B
	0	-400	-650
	1	-528	210
	2	-219	210
	3	-150	210
	4	1,100	210
	5	820	210
	6	990	210
	7	-325	210
a. Construct NPV profiles for Projects A and B
b. What is each project's IRR?
c. If each project's cost of capital were 10%, which project, if either, should be selected? If the cost of capital were 17%, what would be the proper choice?
d. What is each project's MIRR at the cost of capital of 10%? At 17%? (consider period 7 as the end of Project B's life)
e. What is the corssover rate, and what is its significance?