The NPV of Project $A$ is

Projects

Project A costs $$300,000$ and offers seven annual net cash inflows of $$63,000.$

Root Products requires an annual return of $16\%$ on projects of this nature.

Project $B$ costs $$385,000$ and offers ten annual net cash inflows of $$72,000.$

Root Products demands an annual return of $14\%$ on investments of this nature.