14. A project requires a current cash outlay of $18,400 but it will not generate any cash inflows until two years later. What is the internal rate of return for this project if it is expected to generate cash inflows of $6,500 at the end of each year for years 2 and 3 and $5,500 for years 4 and 5? A. 8.21% B. 9.55% C. 10.33% D. 12.00% E. 12.35%

15. A project requires a current expenditure of $34,750 and expects to generate $10,000 cash inflows at the end of each of the next 5 years. What conclusion can be drawn from examining the internal rate of return for this project? A. Accept the project if the cost of capital exceeds 13.5% B. Accept the project if the cost of capital is below 13.5% C. Reject the project if the cost of capital exceeds 10% D. Reject the project if the cost of capital exceeds 7% E. Reject the project if the cost of capital exceeds 5%