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A firm has two mutually exclusive investment projects to evaluate. The projects have the following cash flows: Time Cash Flow X Cash Flow Y 0

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A firm has two mutually exclusive investment projects to evaluate. The projects have the following cash flows: Time Cash Flow X Cash Flow Y 0 -$90,000 - $80,000 1 30,000 35,000 2 50,000 35,000 3 60,000 35,000 4 35,000 5 5,000 Projects X and Y are equally risky and may be repeated indefinitely. If the firm's WACC is 14%, what is the EAA of the project that adds the most value to the firm? Do not round intermediate calculations. Round your answer to the nearest dollar. Choose Project -Select- whose EAA = $ 0= Icon Key

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