**** USING MIRR ****

Quantitative Problem: Bellinger Industries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects' after-tax cash flows are shown on the time line below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all included in these cash flows. Both projects have 4-year lives, and they have risk characteristics similar to the firm's average project. Bellinger's WACC is 11%. 350 Project A1,450 700 Project B1,450 300 230 380 280 730 285 What is Project A's MIRR? Round your answer to two decimal places. Do not round your intermediate calculations. What is Project B's MIRR? Round your answer to two decimal places. Do not round your intermediate calculations. If the projects were independent, which project(s) would be accepted according to the MIRR method? -Select- If the projects were mutually exclusive, which project(s) would be accepted according to the MIRR method? Select