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A firm utilizes a strategy of capital rationing, which is currently $375,000 and is considering the following two projects Project A has a cost of

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A firm utilizes a strategy of capital rationing, which is currently $375,000 and is considering the following two projects Project A has a cost of $335,000 and the following cash flows: year 19140,000; year 2 $150,000, and year 3 $100,000. Project B has a cost of $365,000 and the following cash flows: year 1$220,000; year 2 $110,000, and year 3 $150,000. Using a 6% cost of capital, what is the internal rate of return of project B Multiple Choice Higher than 6 Lower than 6 Exactly

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