Your division is considering two investment projects, each of which requires an up-front expenditure of $28 million. You estimate that the cost of capital is 12% and that the investments will produce the following after-tax cash flows (in millions of dollars):

Year	Project A	Project B
1	5	20
2	10	10
3	15	8
4	20	6

What is the regular payback period for each of the projects? Round your answers to two decimal places. Project A ______ years Project B______ years

What is the discounted payback period for each of the projects? Round your answers to two decimal places. Project A_____ years Project B _____ years

If the two projects are independent and the cost of capital is 12%, which project or projects should the firm undertake? -Select-Project AProject BBoth projectsItem 5 (Correct)

If the two projects are mutually exclusive and the cost of capital is 5%, which project should the firm undertake? -Select-Project AProject BItem 6 (Correct)

If the two projects are mutually exclusive and the cost of capital is 15%, which project should the firm undertake? -Select-Project AProject BItem 7

What is the crossover rate? Round your answer to two decimal places. _________ %

If the cost of capital is 12%, what is the modified IRR (MIRR) of each project? Round your answers to two decimal places. Project A________ % Project B________ %