(Related to Checkpoint 11.1 and Checkpoint 11.4) (IRR and NPV calculation)The cash flows for three independent projects are found below:

Project A

Project B

Project C

Year 0 (Initial investment)

$(70,000)

$(105,000)

$(440,000)

Year 1

$13,000

$30,000

$210,000

Year 2

16,000

30,000

210,000

Year 3

23,000

30,000

210,000

Year 4

28,000

30,000

Year 5

32,000

30,000

a.Calculate the IRR for each of the projects.

b.If the discount rate for all three projects is

14

percent,

which project or projects would you want to undertake?

c.What is the net present value of each of the projects where the appropriate discount rate is

14

percent?