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Compare the following projects using the NPV method and the EAA method if the cost of capital is 17%. Year Project A Project B 0
- Compare the following projects using the NPV method and the EAA method if the cost of capital is 17%.
Year | Project A | Project B |
0 | ($400,000) | ($400,000) |
1 | $175,000 | $160,000 |
2 | $225,000 | $160,000 |
3 | $300,000 | $160,000 |
4 | $200,000 | $160,000 |
5 | $160,000 | |
6 | $155,000 | |
7 | $155,000 | |
8 | $155,000 |
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