XYZ Corporation is faced with twomutually exclusive investmentopportunities.The cost of capital is 12 percent.The cash flows for the two projects are:

Project A Project B

Year Cash Flow Cash Flow

0 -$140,000 -$100,000

1 60,000 30,000

2 60,000 30,000

3 60,000 30,000

4 30,000

5 30,000

6 30,000

What is the NPV for each investments UNDER THE REPLACEMENT APPROACH?