Question: Projects A and B are mutually exclusive; each initial cost is $1,800 and $2,000, respectively. Suppose that the required rate of return is 5%.

Projects A and B are mutually exclusive; each initial cost is $1,800 and $2,000, respectively. Suppose that the required rate of return is 5%. Year 0 1 2 3 4 What is the IRR for projects A and B? 8.25% / 8.46% 8.25% / 9.25% O7.25% / 9.52% 5.25%/9.46% Project A -1800 Project B -2000 250 610 200 610 850 610 1000 610

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