1 2 eBook Problem Walk-Through MIRR and NPV Your company is considering two mutually exclusive projects, X and Y, whose costs and cash flows are shown below: Year X Y 0 -$5,000 -$5,000 1,000 4,500 1,500 1,500 2,000 1,000 4,000 500 The projects are equally risky, and their cost of capital is 11%. You must make a recommendation, and you must base it on the modified IRR (MIRR). Calculate the two projects' MIRRs. Do not round intermediate calculations. Round your answers to two decimal places. Project X: % Project Y: % Which project has the higher MIRR? -Select- has the higher MIRR. 3 4