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5. You are considering two independent projects both of which have been assigned a discount rate of 15 percent. Based on the profitability index, what
5. You are considering two independent projects both of which have been assigned a discount rate of 15 percent. Based on the profitability index, what is your recommendation concerning these projects? Project A Year Cash Flow 0 -$46,000 1 $32,000 2 $27,000 Year 0 1 2 Project B Cash Flow -$50,000 $18,000 $54,000 A. You should accept both projects. B. You should reject both projects. C. You should accept project A and reject project B. D. You should accept project B and reject project A. E. You should accept project A and be indifferent to project B
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