Which project(s) should a firm choose when the projects are independent? When they are mutually exclusive? Suppose both are within the capital budget and kis 10 percent for both projects. Project A: CF = -$2550; CF = $1010; CF = $4010; CF3 = $1510 Project B: CF0= -$2550; CF = $1010; CF = $1010; CF3 = $4410 Both projects; project B O Project B; project B Neither project; neither project Both projects; project A

Which project(s) should a firm choose when the projects are independent? When they are mutually exclusive? Suppose both are within the capital budget and k is 10 percent for both projects. Project A: CF0=$2550;CF1=$1010;CF2= $4010;CF3=$1510 Project B: CF0=$2550;CF1=$1010;CF2= $1010;C3=$4410 Both projects; project B Project B; project B Neither project; neither project Both projects; project A