Question: Q3 Year 0 1 3) (10 marks) You are analyzing the following two mutually exclusive projects and have developed the following information Project A Project

Q3
Q3 Year 0 1 3) (10 marks) You are analyzing the following

Year 0 1 3) (10 marks) You are analyzing the following two mutually exclusive projects and have developed the following information Project A Project B Cash Flow Cash Flow ($82,000) ($77,900) $26,000 $25,000 2 $17,000 $13,000 3 $47,800 $46,000 a) What are the IRRs of these two projects? b) What is the crossover rate? c) Would it be appropriate to make decision based on IRRs here? Explain

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