Consider two streams of cash flows, A and B$.$ Stream A$\text{'}$s first cash flow is $$10,600$ and is

recelved three years from today. Future cash flows in Stream A grow by $3$ percent in

perpetulty. Stream B$\text{'}$s first cash flow is $-$$$10,000,$ is recelved two years from today, and

will continue in perpetulty. Assume that the approprlate discount rate is $11$ percent.

a$.$ What is the present value of each stream? $($A negative amount should be Indlcated

by a minus sign. Do not round intermedlate calculations and round your answers to

$2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

b$.$ Suppose that the two streams are combined Into one project, called $C.$ What is the IRR

of Project C$?($Do not round Intermedlate calculations and enter your answer as a

percent rounded to $2$ decimal places, e$.$g$.,32\mathrm{.}16.)$

IRR

c$.$ What Is the correct IRR rule for Project C$?$

Accept the project if the discount rate is above the IRR.

Accept the project if the discount rate is below the IRR.

Accept the project if the discount rate is equal the IRR.