YEAR 0 1 PROJECT A -50,000 23,700 21,700 19,200 14,300 PROJECT B -353,000 42,000 62,000 62,000 500,000 2 3 4 You consider two mutually exclusive projects whose cash flows are given above. Required return is 16. Which project should be accepted and why? Project A thould be accepted since NPV of Project is higher than NPV of Project Project A should be accepted since required return is less than the cross-over point and at this required rate NPV of Project Als higher than NPV of Project Project should be accepted since required return is less than the cross-over point and for this required return NPV of Project is higher than NPV of Project Project should be accepted since Project has higher IRR Project should be accepted since required return is greater than the cross-over point