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Mahjong, Inc., has identified the following two mutually exclusive projects: Year Cash Flow (A) Cash Flow (B) 0 $43,000 $43,000 1 23,000 7,000 2 17,900

Mahjong, Inc., has identified the following two mutually exclusive projects:

Year Cash Flow (A) Cash Flow (B)
0 $43,000 $43,000
1 23,000 7,000
2 17,900 13,800
3 12,400 24,000
4 9,400 26,000

Required:

(a)

The IRR for Projects A and B is percent and percent respectively. (Do not include the percent signs (%). Round your answers to 2 decimal places. (e.g., 32.16))

(b)

If the required return is 11 percent, the NPV for Projects A and B is $ and $, respectively. You will choose Project (Click to select)AB if you apply the NPV decision rule. (Do not include the dollar signs ($). Round your answers to 2 decimal places. (e.g., 32.16))

(c)

At a discount rate of percent, you would be indifferent between these two projects. (Do not include the percent sign (%). Round your answer to 2 decimal places. (e.g. 32.16)

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