PV costs TV (1+MIRR) While the IRR's reinvestment rate assumption is the IRR, the MIRR's reinvestment rate assumption is the project's WACC. As a resut, the MIRR is generalily a better indicator of a project's true profitability than IR, Unlke the IRR,there can (parver be neverbe more than one MIRR, and the MIRR can be compare independentprojects, the NPV, IRR, and MIRR always reach the same accept/reject conclusion; so the three criternia are equally good d with the project's WACCwhen deciding to accept or reject projects. For when evaluating independentprojects. If projets are mutually exclusive and they differ in size, conflicts in project acceptande arise. In these cases, the is the best decision method because it selects the project that maximizes firm value. Quantitative Problem: BellingeIndustries is considering two projects for inclusion in its capital budget, and you have been asked to do the analysis. Both projects after-tax cash flows are shown on the time line below. Depreciation, salvage values, net operating working capital requirements, and tax effects are all included in these cash flows. Both projects have 4-year lives, and they have risk characteristics similar to the firm's average project. Bellinger's WACC is 11%. 0 -t + t Project A -1,300 600 Project B -1,300200 270 420 320 770 2 445 380 What is Project A's MIRR? Round your answer to two decimal places. Do not round your intermediate calculations Show All Feedback What is Project B's MIRR? Round your answer to two decimal places. Do not round your intermediate calculations