Solve without using excel 1. You are analyzing two mutually exclusive projects and have developed the following information. What is the incremental IRR?

Year	Project A Cash flow	Project B Cash Flow
0	-84,500	-76,900
1	-29,000	25,000
2	40,000	35,000
3	27,000	26,000

A. 11.11% B. 13.01% C. 14.91% D. 16.75% E. 17.90%

2. Based on the profitability index of _____ for this project, you should _____ the project. A. .97; accept B. 1.05; accept C. 1.18; accept D. .97; reject E. 1.05; reject

3. Based on the internal rate of return of _____ for this project, you should _____ the project. A. 8.95%; accept B. 10.75%; accept C. 8.44%; reject D. 9.67%; reject E. 10.33%; reject

4. Based on the net present value of _____ for this project, you should _____ the project. A. -$2,021.28; reject B. -$406.19; reject C. $7,978.72; accept D. $9,836.74; accept E. $12,684.23; accept