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Canada Corp. s management has determined that two mutually exclusive projects have the following NPV: Project A NPV $ 5 , 0 0 0 Project
Canada Corp.s management has determined that two mutually exclusive projects have the following NPV:
Project A NPV $
Project B NPV $
Which best describes the correct managerial decision given the information above?
a
Accept B and reject A since project A has a lower NPV than project B
b
Decline both projects since both projects must have an NPV greater than $
c
Accept A and reject B since since project A has a lower NPV than project B
d
Accept both projects since both projects have a positive NPV
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