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Question 16 The following are the cash flows of two projects: Year Project A Project B 0 $ (200) $ (200) 1 80 100 2.

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Question 16 The following are the cash flows of two projects: Year Project A Project B 0 $ (200) $ (200) 1 80 100 2. 80 100 3 80 100 80 Based on the information, the project with the higher IRR is the worse project the better project O project A O can not be determined. Which of the following projects would you reject? Assume the opportunity cost of capital to be 10% for each project O has a small but negative. NPV. O "C"cost of capital exceeds its internal rate of return "B" has a positive NPV when discounted at 10% "D" has a zero NPV when discounted at 14% More than one of the above

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