Two mutually exclusive investments cost $$10,000$ each and have the following cash inflows. The firm's cost of capital is $12$ percent.

Investment

Cash inflow:

Year A B

$1$ $$12,407--$

$2----$

$3----$

$4--$ $$19,390$

a$.$ What is the net present value of each investment?

b$.$ What is the internal rate of return of each investment?

c$.$ Which investment$($s$)$ should the firm make?

d$.$ Would your answers be different to $($c$)$ if the funds received in year $1$ for investment A could be reinvested at $12$ percent? $16$ percent? $20$ percent?