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Britannia Company has two investment opportunities. A cash flow schedule for the investments is provided below: Year Investment A Investment B 0 ($4,800) ($5,700) 1
Britannia Company has two investment opportunities. A cash flow schedule for the investments is provided below:
| Year | Investment A | Investment B | ||
| 0 | ($4,800) | ($5,700) | ||
| 1 | 1,920 | 2,880 | ||
| 2 | 1,920 | 1,920 | ||
| 3 | 1,920 | 1,920 | ||
| 4 | 1,920 | 960 |
Considering the unequal investments, which of the following techniques would be most appropriate for choosing between Investment A and Investment B?
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