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Florence has $400 000 available to invest. There are 3 investment options available to her. Option I: Invest the money in government bonds yielding 10%

Florence has $400 000 available to invest. There are 3 investment options available to her. Option I: Invest the money in government bonds yielding 10% annually, redeemable at par in 4 years. Option II: Invest in a project that will produce the following cash flows: Year 1 2 3 4 Cash Flow $50 000 $100 000 $150 000 $200 000 According to an analysis of net present values, which option should Florence choose?

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