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8. A firm is considering the following mutually exclusive investment projects: Project A requires an initial outlay of $500 and will return $120 per year
8. A firm is considering the following mutually exclusive investment projects: Project A requires an initial outlay of $500 and will return $120 per year for the next seven years. Project B requires an initial outlay of $5,000 and will return $1,350 per year for the next five years. The required rate of return is 10%. What is the net present value of the project with the highest net present value? A. $340.00 B. $84.21 C. $1,750.00 D. $117.56
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