Blue Wolf Inc., is considering two mutually exclusive investments. Below are the projects expected net cash flows Expected Net Cash Flows Time Project A Project B 0 ($500) ($600) 1 ($300) $200 2 ($200) $200 3 ($100) $200 4 $600 $200 5 $600 $200 6 $926 $200 7 ($200) $0 A.) If each project's cost of capital is 14%, which project should be selected? If the cost of capital is 18%, what project is the proper choice? @ 14% cost of capital @ 18% cost of capital *You can use the NPV funciton in Excel to help! WACC = 14% WACC = 18% NPV Project A = NPV Project A = NPV Project B = NPV Project B = B.) What is each project's IRR? We can find the internal rate of return using Excel's IRR function: IRR Project A = IRR Project B = C.) What is each project's MIRR at a cost of capital of 14%? At r = 18%? @ 14% cost of capital @ 18% cost of capital MIRR A = MIRR A = MIRR B = MIRR B =