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You are considering the following two mutually exclusive projects. The crossover rate between these two projects is ___ percent and Project ___ should be accepted

You are considering the following two mutually exclusive projects. The crossover rate between these two projects is ___ percent and Project ___ should be accepted if the required return is greater than the crossover rate.

Year Project A Project B
0 $30,000 $30,000
1 11,500 19,630
2 11,500 9,500
3 19,500 11,650

  • 19.28%; A

  • 11.33%; B

  • 11.33%; A

  • 17.76%; B

  • 17.76%; A

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