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Consider projects A and B Cash Flows (dollars) Project C 0 C 1 C 2 NPV at 11% A 32,000 22,600 22,600 + $6,703 B

Consider projects A and B

Cash Flows (dollars)

Project C0 C1 C2 NPV at 11%
A 32,000 22,600 22,600 + $6,703
B 52,000 35,000 35,000 +

7,938

Calculate IRRs for A and B. (Do not round intermediate calculations. Enter your answers as a percent rounded to 2 decimal places.)

Project IRR
A %
B

%

Which project does the IRR rule suggest is best?

Project A or Project B?

Which project is really best?

Project A or Project B?

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