You have $3$ projects with the following cash flows: $($Click on the following icon $$ in order to copy its contents into a spreadsheet.$)$

a$.$ For which of these projects is the IRR rule reliable?

b$.$ Estimate the IRR for each project $($to the nearest $1\%).$

c$.$ What is the NPV of each project if the cost of capital is $5\%?20\%?50\%?$

a$.$ For which of these projects is the IRR rule reliable? $($Select from the drop$-$down menus.$)$

The IRR rule is reliable for

Unless all of the negative cash flows of the project precede the positive ones, the IRR rule may give the wrong answer and should not

be used. Furthermore, there may be multiple IRRs or the IRR may not exist.

b$.$ Estimate the IRR for each project $($to the nearest $1\%).$

The IRR for project $1$ is

$\%.($Round to the nearest integer.$)$