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11 Project A and Project B are mutually exclusive and have the following expected cash nows B 212) -$120,000 $30,000 $20,000 $40,000 $70,000 -$150,000 $40.000

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Project A and Project B are mutually exclusive and have the following expected cash nows B 212) -$120,000 $30,000 $20,000 $40,000 $70,000 -$150,000 $40.000 $20,000 $50,000 $85,000 3 Which of the following statement is correct? a. Always select Project B because the IRR of Project B is higher than the IRR for Project O b. Cannot tell from the provided information Oc Always select Project A because the IRR of Project A is higher than the IRR for Project B d. Select Project B, if Cost of Capital for the firm undergoing the project is 5% O.. Select Project A, If Cost of Capital for the firm undergoing the project is 5%

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