Question: Year Project A Project B 0 ($400) ($650) 1 ($528) 210 2 ($219) 210 3 ($150) 210 4 $1,100 210 5 $820 210 6 $990

Year	Project A	Project B
0	($400)	($650)
1	($528)	210
2	($219)	210
3	($150)	210
4	$1,100	210
5	$820	210
6	$990	210
7	($325)	210

1. (a) What is each projects IRR?

(b) If each projects cost of capital were 10%, which project, if either, should be selected? If the cost of capital were 17%, what would be the proper choice?

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