ou are choosing between two projects, but can only take one. The cash flows for the project are given in the following table: Thmeline: A B a. What are the IRR's of the two projects? b. If your discount rate is 5%, what are the NPV's of the two projects c. Why do IRR and NPV rank the two projects differently? a. IRR of Investment A: IRR of Investment B: b. NPV of Investment A at 5% : NPV of Investment B at 5% : c. NPV and IRR rank the two projects differently because they are measuring different things. NPV is measuring value creation, while IRR is measuring retum on investment. Because retums do not scale with different levels of investment, the two measures may give different rankings when initial investment is different