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Consider the following two projects: Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Discount Rate Alpha -79

Consider the following two projects:

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Discount Rate

Alpha -79 20 25 30 35 40 N/A N/A 16%

Beta -80 25 25 25 25 25 25 25 17%

The net present value (NPV) for project beta is closest to?

A. $18

B. $14

C.$13

D. $22

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