Q.8. Ali plc has two possible projects to consider. It cannot do both - they are mutually exclusive. The cash flows are: Points in time (yearly intervals) Project A Project B 0 -500000-100000 1 145000 55500 2 155000 55500 3 165000 0 4 175000 0 Ali's cost of capital is 10 per cent. Assume unlimited funds. These are the only cash flows associated with the projects. (a) Calculate the internal rate of return (IRR) for each project. (3 marks) (The range of rates for Project A is 10% to 11%) (The range of rates for Project B is 7% to 8%) (b) Calculate NPV for each project (2 marks)