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Calculate the cross-over rate for the previous question. Then calculate NPV for 2 rates higher than the cross-over rate and 2 rates lower than the

Calculate the cross-over rate for the previous question.

Then calculate NPV for 2 rates higher than the cross-over rate and 2 rates lower than the cross-over rate.

What can you conclude? SHOW YOUR WORK, EXPLAIN YOUR REASONING

Year

Cash inflows

Project A

Project B

1

$55,000

$95,000

2

$55,000

$70,000

3

$55,000

$40,000

4

$55,000

$40,000

5

$55,000

$20,000

6

$55,000

$20,000

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