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You are considering investing in three projects. Project A will cost $990,000. The investment is expected to yield annual net cash inflow after-tax of $122,000

You are considering investing in three projects. Project A will cost $990,000. The investment is expected to yield annual net cash inflow after-tax of $122,000 for 14 years. Hurdle rate is 15% Project B will cost $800,000, and it is expected to yield annual net cash inflow of $144,000 for 10 year. Minimum required rate is 10% Project C will cost $101,000. Net cash inflow include the following: year 1, $35,000, year 2, $30,000, year 3, $28,000, year 4, $26,000, year 5, $25,000, and year 6, $20,000. Hurdle rate is 16%. A. Compute the Net Present Value (NPV) of Project A, B & C. B. Based on your answer in A, which of these Projects would you invest in? Why? C. If you have unlimited resources, would you invest in all 3 Projects? Give your reasons.

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