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Consider projects A and B with the following cash flows: 1 A -$36 +$20 +$20 $20 30 2 B 61 30 30 a-1. What is
Consider projects A and B with the following cash flows: 1 A -$36 +$20 +$20 $20 30 2 B 61 30 30 a-1. What is the NPV of each project if the discount rate is 10%? (Do not round intermediate calculations. Round your answers to 2 decimal places.) ProNev a-2. Which project has the higher NPV? Project A Project B b-1. What is the profitability index of each project? (Do not round intermediate calculations. Round your answers to 2 decimal places.) Profit Project Index A b-2. Which project has the higher profitability index? Project A Project B c-1. Which project is most attractive to a firm that can raise an unlimited amount of funds to pay for its investment projects? Project A Project B c-2. Which project is most attractive to a firm that is limited in the funds it can raise? Project A Project B Both
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