Question: Consider the following expected cash flows from a project: a. What is the IRR of each project? b. If the discount rate is 10 percent,

Consider the following expected cash flows from a project:Period 0 Project A Project B -680 -360 1 425 238 2

a. What is the IRR of each project?

b. If the discount rate is 10 percent, explain why the best project is not the one with the highest IRR.

Period 0 Project A Project B -680 -360 1 425 238 2 510 280

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