Your company is considering constructing a new factory in order to meet the increased demand for its product. Two different technologies, A and B, have been considered in the manufacturing process. The expected costs of the factory and annual earnings are given below.

	Capital Costs (Millions)	Capital Costs (Millions	Earnings (Millions)	Earnings (Millions)
End of Year	Technology A	Technology B	Technology A	Technology B
0	$10	$15	$0	$0
1	10	10	-1	0
2	10	0	1	2
3	0	0	5	10
4	0	0	10	10
5	0	0	20	10

At the end of five years, technology A will have a scrap value of one million dollars, and technology B will have a scrap value of 5 million dollars. Assume that these two projects are equally risky and the companys opportunity cost for funds is 10 percent per year. You are asked to analyze the data and determine if either or both of the projects would be feasible.