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Now it's time for you to practice what you've learned. Suppose a firm is considering two mutually exclusive equally risky projects with WACC = 15%

Now it's time for you to practice what you've learned. Suppose a firm is considering two mutually exclusive equally risky projects with WACC = 15% and the following cash flows: 0 1 2 3 4 5 Project A -$1,000 $800 $750 $650 $500 $425 Project B -$1,000 $1,050 $700 $600 $450 $545 What is the MIRR of the project that maximizes the shareholder return? 36.35% 36.61% 51.19% 85.91%

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