Mooradian Corporation estimates that its weighted average cost of capital is 11.5 percent. The company is considering two mutually exclusive projects whose after-tax cash flows are as follows:

Year Project S CF Project L CF

0 ($3,118) ($4,343)

1 $1,547 $2,524

2 $1,710 $2,853

3 $3,699 $1,168

4 $4,495 $2,434

What is the modified internal rate of return (MIRR) of the project with the highest NPV?

Should this project be accepted?

Group of answer choices

40.59%; Yes

47.59%; No

45.59%; Yes

38.59%; No

42.59%; Yes