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Consider two mutually exclusive R&D projects that ADM is considering Assume the discount rate for ADM is 11 percent. Project A: Server CPU 13 micron

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Consider two mutually exclusive R&D projects that ADM is considering Assume the discount rate for ADM is 11 percent. Project A: Server CPU 13 micron processing project By shrinking the die size to -13 micron, ADM will be able to offer server CPU chips with lower power consumption and heat generation, meaning faster CPUs Project B: New telecom chip project Entry into this industry will require introduction of a new chip for cell phones. The know-how will require a large amount of up-front capital, but success of the project will lead to large cah flows later on. Complete the following table (Do not round intermediate calculations. Enter the IRR as a percent. Round your profitability index (PI) answers to 3 decimal places (e.g.. 32.161) and other answers to 2 decimal places (e.g.. 32.16).) What Is the Incremental IRR Of Investing In the larger project- (Do nor round intermediate calculations. Enter your answer as o percent and round your answer to 2 decimal places (e.g.. 32.16).)

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