It is your first week at your new job. You have been asked to evaluate a choice between two mutually exclusive projects, A and B.

	0	1	2	3	NPV (8%)	IRR
A	-10,000	10,000	1,000	1,000	910	16.04%
B	-10,000	1,000	1,000	13,000	2,103	15.72%
C

You remember that Steve Cox, your brilliant instructor from F542, always said that NPV is the preferred method to evaluate projects. Unfortunately, your boss, Mr. Beastly, is an active member of the NIA (National IRR Association) a group which supports the rights of all Americans to use the Internal Rate of Return method. You want to recommend project B but you know Mr. Beastly will prefer A which is favored using the IRR. Show (by copying the table above to your answer) and explain to Mr. Beastly why project B is better, and that you can use the IRR method to prove it. Helpful hint: When you copy the table above to use in your answer, be sure to select every cell before you select "copy".