(6) Company BW has the following two investment opportunities (A and B).

a) Which project is better, according to NPV ? [15 points]

b) Which project is better, according to Modified IRR? [15 points]

***Lets not to consider the difference in the duration of these projects***

Table won't upload so I will type it out

Net Cash Flow

End of Year Project A. Project B

0 -8000....B =-6000

1 500........B=2,500

2 11,500.......B=3,500

3 B=3,500

4 B=3,000