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Suppose a company is considering two independent projects, Project A and Project B. The cash outlay for Project A is $14,000. The cash outlay for Project B is $20,000. The company's cost of capital is 12%. The following table shows the after-tax cash flows. For each project, compute the NPV, the IRR, the MIRR, and indicate the accept/reject decision.

Year Project A Project B

1 $4800 $6700

2 $4800 $6700

3 $4800 $6700

4 $4800 $6700

Basic Finance, Finance

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