A company is considering the acquisition of its two competitors, A and B. However, the decisions with regards to the two competitors will be mutually exclusive. Below are the incremental cash flows that would occur if the decision to acquire each competitor is made:

Year	Cash Flow (A)	Cash Flow (B)
0	$36,800	$36,800
1	19,150	6,670
2	14,650	13,170
3	12,150	19,670
4	9,150	23,670

a. What is the IRR for competitor A?

b. What is the IRR for competitor B?

c. The appropriate rate of return is 16 percent. Calculate the NPV for competitor A.

d. The appropriate rate of return is 16 percent. Calculate the NPV for competitor B.

e. At what rate of return would the acquiring company be indifferent between which one of these two competitors to acquire?