1 2 The following cash flows are given for the two mutually exclusive projects A and B. The project A requires an initial investment of $20,000 in time 'O' and project B needs an initial investment of $22,000 in time 'o'. Year Project A Project B $5,500 $9,000 6,000 8,000 7,000 6,000 7,500 5,500 9,000 4,500 (a) Calculate the NPV (Net Present Value) for each project using a discount rate of 14%. (b) State your accept/reject decision (c) What would be your decision if the projects were independent projects? (d) Also calculate the IRR for each project w 4 5