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Consider the following cash flows for two mutually exclusive investments : t=0 t=1 t=2 t=3 A ($1,212) $898 $543 $111 B ($911) $101 $234 $1,033

Consider the following cash flows for two mutually exclusive investments :

t=0

t=1

t=2

t=3

A

($1,212)

$898

$543

$111

B

($911)

$101

$234

$1,033

Given the cost of capital is 8% what is the internal rate of return of the better project?

14.33%

18.45%

19.62%

16.57%

15.82%

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