Payback, NPV, and MIRR

Your division is considering two investment projects, each ofwhich requires an up-front expenditure of $23 million. You estimatethat the cost of capital is 9% and that the investments willproduce the following after-tax cash flows (in millions ofdollars):

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 is9%, which project or projects should the firm undertake?
-Select-Project AProject BBoth projectsItem 5

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

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

What is the crossover rate? Round your answer to two decimalplaces.
%

If the cost of capital is 9%, what is the modified IRR (MIRR) ofeach project? Round your answers to two decimal places.

Project A %

Project B %