Year Cash Flow $($A$)$ Cash Flow $($B$)$

$0$$ $52,000$$ $52,000$

$128,00015,800$

$222,00019,800$

$317,00024,000$

$412,40025,800$

a$-1.$ What is the IRR for each of these projects?

a$-2.$ If you apply the IRR decision rule, which project should the company accept?

b$-1.$ Assume the required return is $11$ percent. What is the NPV for each of these projects?

b$-2.$ Which project will you choose of you apply the NPV decision rule?

c$-1.$ Over what range of discount rates would you choose Project A$?$

c$-2.$ Over what range of discount rates would you choose Project B$?$

d$.$ At what discount rate would you be indifferent between these two projects?