Romboski, LLC, has identified the following two mutually exclusive projects:

Year	Cash Flow (A)				Cash Flow (B)
0		$	65,000			$	65,000
1			41,000				27,500
2			35,000				31,500
3			23,500				37,000
4			15,000				24,500

Requirement 1:
(a)	What is the IRR for each of these projects? (Do not round intermediate calculations. Enter your answer as a percentage roundedto 2 decimal places (e.g., 32.16).)

	Internal rate of return
Project A	%
Project B	%

(b)	If you apply the IRR decision rule, which project should the company accept?

Requirement 2:
(a)	Assume the required return is 11 percent. What is the NPV for each of these projects? (Do not round intermediate calculations.Round your answers to 2 decimal places (e.g., 32.16).)

	Net present value
Project A	$
Project B	$

(b)	Which project will you choose if you apply the NPV decision rule?

Requirement 3:
(a)	Over what range of discount rates would you choose Project A? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

Project A

@ %

(b)	Over what range of discount rates would you choose Project B? (Do not round intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)

Project B

@ %

(c)	At what discount rate would you be indifferent between these two projects? (Do not round intermediate calculations. Enter your answer as a percentage rounded to 2 decimal places (e.g., 32.16).)

Discount rate

%