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Investment Project A: Initial Investment: $500,000 Annual Cash Flows: $150,000 Discount Rate: 10% Investment Project B: Initial Investment: $800,000 Annual Cash Flows: $200,000 Discount Rate:

  • Investment Project A:
    • Initial Investment: $500,000
    • Annual Cash Flows: $150,000
    • Discount Rate: 10%
  • Investment Project B:
    • Initial Investment: $800,000
    • Annual Cash Flows: $200,000
    • Discount Rate: 12%

Calculate the net present value (NPV) for each investment project and recommend the more financially viable option.

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