The following are the cash flows of two projects: Year Project A Project B 0 $260 $260
Fantastic news! We've Found the answer you've been seeking!
Question:
| The following are the cash flows of two projects: |
| Year | Project A | Project B |
| 0 | $260 | $260 |
| 1 | 140 | 160 |
| 2 | 140 | 160 |
| 3 | 140 | 160 |
| 4 | 140 |
| a. | Calculate the NPV for both projects if the discount rate is 11%. (Do not round intermediate calculations. Round your answers to 2 decimal places.) |
| Project | NPV |
| A | $ |
| B | $ |
| b. | Suppose that you can choose only one of these projects. Which would you choose? | |||
|
Expert Answer:
Posted Date:
