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You are considering investment in the following projects. Assume that your discount rate is 6% per year. Project As cash flows: Year 0 Year 1

You are considering investment in the following projects. Assume that your discount rate is 6% per year. Project As cash flows: Year 0 Year 1 Year 2 Year 3 -$7,500 $2,300 $3,500 $3,000 Project Bs cash flows: Year 0 Year 1 Year 2 Year 3 -$9,200 $3,800 $4,100 $2,300 A)Calculate IRR for project A and IRR for project B. (5pts) B)Calculate NPVs for project A and NPV for project B. (5pts) C) If A and B are not mutually exclusive, what projects will you invest in, if any? (4pts) D) If A and B are mutually exclusive, what projects will you invest in, if any? (4pts)

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