Quantitative Problem: Bellinger Industries 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 8%. 2 Project A Project B -1,050 -1,050 705 320 360 305 200 400 310 655 What is Project Delta's IRR? Do not round intermediate calculations. Round your answer to two decimal places. % What is the significance of this IRR? It is the crossover rate , after this point when mutually exclusive projects are considered there is no conflict in project acceptance between the NPV and IRR approaches. Review the graphs below. Select the graph that correctly represents the correct NPV profile for Projects A and B by using the following drop down menu. -Select- NPV Profiles A NPV Profiles B NPV Profiles C NPV Profiles D INPV (5) INPV (5) ) INPV ($) 600+ 500 U 4001 - INPV (5) 600+ 500 400 300+ 2001 1001 300 3001 2001 1001 2001 c N 1001 1001 510152530 5 10 15 20 30 5 10 152 2530 10 15 20 25 30 Cost of Capital (%) Cost of Capital% Cost of Capital (% -1001 -2001 -3001 -4001 -1001 -2001 -3001 Cost of Capital -1001 -2001 -3001 -4001 -1001 -2001 -3001 -4001 -4001