A company is analyzing two mutually exclusive projects, S and L, with the following cash flows: 0 1 2 3 4 Project...

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Finance

A company is analyzing two mutually exclusive projects, S and L,with the following cash flows:

01234
Project S-$1,000$880.19$250$15$10
Project L-$1,000$10$240$420$792.65

The company's WACC is 8.5%. What is the IRR of the betterproject? (Hint: The better project may or may not be theone with the higher IRR.) Round your answer to two decimalplaces.

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