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Two investment projects that are mutually exclusive both requie a $10,000,000 investment. Projected cash flows are: Year Project A Project B 1 $3,500,000 $6,500,000 2
Two investment projects that are mutually exclusive both requie a $10,000,000 investment. Projected cash flows are: Year Project A Project B 1 $3,500,000 $6,500,000 2 3,500,000 3,000,000 3 3,500,000 3,000,000 4 3,500,000 1,000,000 If your discount rate is 12%, what is the net present value for Project A and Project B and profitability index for Project A and Project B?
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