Project A Project B Project C Projected cash outflow Net initial investment $ 3,000,000 $ 1,500,000 $ 4,000,000 Projected cash inflows Year 1 Year 2 Year 3 Year 4 $ 1,000,000 $ 400,000 $ 2,000,000 1,000,000 900,000 2,000,000 1,000,000 800,000 200,000 100,000 1,000,000 Required rate of return 10% 10% 10%