August 6 FIN 3200 Summer II 2019 ICGE Ch. 8 NPV versus IRR 1. Zayas, LLC, has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) -$58,000 -$58,000 34,000 21,200 28,000 25, 200 20,000 30,000 13,600 25, 200 WN a. i. What is the IRR for each of these projects? ii. If you apply the IRR decision rule, which project should the company accept? b. Assume the required return is 14 percent. i. What is the NPV for each of these projects? ii.. Which project will you choose if you apply the NPV decision rule? d. Over what range of discount rates would you choose Project A? e. Over what range of discount rates would you choose Project B