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Your company has a corner lot Your boss asked you to examine two mutually exclusive options for the lot Project A and Project B You

Your company has a corner lot Your boss asked you to examine two mutually exclusive options for the lot Project A and Project B You determined the following Project A Project B NPV 13000 14500 Payback Period 36 years 45 years Required Rate of Return 8 9 Based on the numbers which one should you recommend to your boss Use the best criteria Project B it has the highest NPV Project A because it has a lower Payback Period Project B because it has a higher required rate of return

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