Salarian Company is considering two capital expenditures. Relevant data for the projects are as follows:

ProjectABInitial investment$207,545$262,102Annual income$49,270$45,610Life of project5 years8 yearsSalvage value$0$0

Salarian Company uses the straight-line method to depreciate its assets.

(a)

Calculate the internal rate of return for each project. (For calculation purposes, use 4 decimal places as displayed in the factor table provided, e.g. 1.2512. Round answers to 0 decimal places, e.g. 15%.)

Click here to view P V table.

Internal rate of return Project A

%Project B

%