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What is the irr of project

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Reference no: EM132459823

Problem: Here are the cash flows for two mutually exclusive projects:

Project C0 C1 C2 C3

A -$30,800 +$12,200 +$12,200 +$12,200

B -30,800 0 0 +38,700

a. Given the following interest rates (0%, 2%, 4%, 6%, 8%, 10%, 12%, 14%, 16%, 18%, 20%), above what interest rates would you prefer project A to B?

b. What is the IRR of each project? (Round your answers to 2 decimal places.) A and B

Reference no: EM132459823

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