Bruin, Inc., has identified the following two mutually exclusive projects:

Year	Cash Flow (A)				Cash Flow (B)
0	$	37,500			$	37,500
1		17,300				5,700
2		16,200				12,900
3		13,800				16,300
4		7,600				27,500

a-1.	What is the IRR for each of these projects? (Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g., 32.16.)

a-2.	Using the IRR decision rule, which project should the company accept?

Project A

Project B

a-3.	Is this decision necessarily correct?

Yes

No

b-1.	If the required return is 11 percent, what is the NPV for each of these projects? (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

b-2.	Which project will the company choose if it applies the NPV decision rule?

Project A

Project B

c.	At what discount rate would the company be indifferent between these two projects? (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)