You are choosing between two projects. The cash flows for the projects are given in the following table ($ million):

Project	Year 0	Year 1	Year 2	Year 3	Year 4
A	negative 50

$ 23

$ 20

$ 19

$ 16

B	negative $ 99

$ 18

$ 40

$ 50

$ 61

a. What are the IRRs of the two projects?

b. If your discount rate is

4.6 %

,

what are the

NPVs

of the two projects?

c. Why do IRR and NPV rank the two projects differently?

a. What are the IRRs of the two projects?