Zayas has identified the following two mutually exclusiveprojects.
| Year | Cash Flow (A) | Cash Flow (B) |
| 0 | -$78,500 | -$78,500 |
| 1 | $43,000 | $21,000 |
| 2 | $29,000 | $28,000 |
| 3 | $23,000 | $34,000 |
| 4 | $21,000 | $41,000 |
a. What is the IRR for each project and if you apply the IRRdecision rule which project would you accept
b. If the required return is 11% what is the NPV for each ofthese projects? Which project would you choose?
If possible, please show formula and do not use excel.Thanks!
