Consider the following cash flows of two mutually exclusive projects for Tokyo Rubber Company. Assume the discount rate for both projects is 6 percent.

Year Dry Prepreg Solvent Prepreg

0- $1,880,000- $840,000

1 1,118,000 -465,000

2 936,000-780,000

3 768,000 -426,000

a.What is the payback period for both projects?(Do not round intermediate calculations. Round your answers to 2 decimal places, e.g., 32.16.)

Payback period

Dry Prepegyears

Solvent Prepegyears

b.What is the NPV for both projects?(Do not round intermediate calculations. Round your answers to 2 decimal places, e.g., 32.16.)

NPV

Dry Prepeg$

Solvent Prepeg$

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

IRR

Dry Prepeg%

Solvent Prepeg%

d.Calculate the incremental IRR for the cash flows.(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)

Incremental IRR%