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(NPV, PI, and IRR calculations) You are considering two independent projects, project A and project B. The initial cash outlay associated with project A is
(NPV, PI, and IRR calculations) You are considering two independent projects, project A and project B. The initial cash outlay associated with project A is $45,000, and the initial cash outlay associated with project B is $65,000. The required rate of return on both projects is 9 percent. The expected annual free cash inflows from each project are in the popup window: Calculate the NPV, PI, and IRR for each project and indicate if the project should be accepted. a. What is the NPV of project A? $ (Round to the nearest cent.) Initial Outlay Inflow year 1 Inflow year 2 Inflow year 3 Inflow year 4 Inflow year 5 Inflow year 6 PROJECT A - $45,000 13,000 13,000 13,000 13,000 13,000 13,000 PROJECT B - $65,000 14,000 14,000 14,000 14,000 14,000 14,000
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