A) Using the below cash flows calculate and indicate the Net Present Value (NPV) for the below projects (assume a WACC of 10%):

Project A Project B

Year 0 -$ 700 -$ 800

Year 1 100 300

Year 2 200 300

Year 3 300 200

Year 4 400 150

B) Based on your NPV analysis, if the projects were mutually exclusive which project would you accept & why?

C) Based on your NPV analysis, If the projects were independent would you accept project A, B or both & why?