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Valley Products, Inc. is considering two independent investments having the following cash flow streams: Year Project A Project B 0 -$30,000 -$55,000 1 +10,000 +11,000

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Valley Products, Inc. is considering two independent investments having the following cash flow streams: Year Project A Project B 0 -$30,000 -$55,000 1 +10,000 +11,000 2 +30,000 +10,000 3 +20,000 +10,000 4 +10,000 +9,000 5 +6,000 +40,000 Valley uses a combination of the net present value approach and the payback approach to evaluate investment alternatives. It requires that all projects have a positive net present value when cash flows are discounted at 19 percent and that all projects have a payback no longer than three years. Which project or projects should the firm accept? Use Table II to answer the questions. Round your answers to the nearest whole number. Project A Project B years years Payback NPV $ Is the project acceptable? -Select- -Select

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