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2. Sue and Tina are both considering the same project with the cash flows shown below. Sue is content earning 4.9 percent on the project
2. Sue and Tina are both considering the same project with the cash flows shown below. Sue is content earning 4.9 percent on the project but Tina wants to earn at least 6.7 percent. Who, if either, should accept this project?
Year 0 1 2 3
Cash flow -$114,000 43,800 60,700 23,300 a. Sue, but not Tina b. Tina, but not Sue c. Sue, Tina can go either accept or reject as her NPV is zero d. neither Sue nor Tina e. both Sue and Tina
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