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Bruin, Incorporated has identified the following two mutually exclusive projects: a - 1 . Year Cash Flow ( A ) Cash Flow ( B )

Bruin, Incorporated has identified the following two mutually exclusive projects:
a-1.Year Cash Flow (A) Cash Flow (B)
0$ 41,300$ 41,300
119,1006,300
217,80014,200
315,20017,900
48,40030,300 What is the IRR for each of these projects?
Note: Do not round intermediate calculations and enter your answers as a percent rounded to 2 decimal places, e.g.,32.16.
a-2. If you apply the IRR decision rule, which project should the company accept?
b-1. Assume the required return is 11 percent. What is the NPV for each of these projects?
Note: Do not round intermediate calculations and round your answers to 2 decimal places, e.g.,32.16.
b-2. Which project will you choose if you apply the NPV decision rule?c-1. Over what range of discount rates would you choose Project A?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.
c-2. Over what range of discount rates would you choose Project B?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.
c-3. At what discount rate would you be indifferent between these two projects?
Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g.,32.16.
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