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You have the following two mutually exclusive projects: Year Project A Project B 0 $ (3,750) $ (7,550) 1 $ 850 $ 1,275 2 $
You have the following two mutually exclusive projects: Year Project A Project B 0 $ (3,750) $ (7,550) 1 $ 850 $ 1,275 2 $ 1,270 $ 2,750 3 $ 1,050 $ 2,700 4 $ 1,975 $ 3,225 What is the NPV of each project at 5%? At what interest rate will the 2 projects have the same NPV?
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