A firm evaluates all of its projects by applying the NPV decision rule. A project under consideration has the following cash flows: Year Cash Flow 0 $ 28,600 1 12,600 2 15,600 3 11,600 What is the NPV for the project if the required return is 11 percent? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

At a required return of 11 percent, should the firm accept this project?

multiple choice 1

Yes

No

What is the NPV for the project if the required return is 25 percent? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

At a required return of 25 percent, should the firm accept this project?

multiple choice 2

Yes

No