question archive The following are the cash flows of two independent projects Year Project A Project B 0 (350) (350) 1 180 250 2 180 250 3 180 250 4 180   A

The following are the cash flows of two independent projects Year Project A Project B 0 (350) (350) 1 180 250 2 180 250 3 180 250 4 180   A

Subject:FinancePrice: Bought3

The following are the cash flows of two independent projects

Year Project A Project B

0 (350) (350)

1 180 250

2 180 250

3 180 250

4 180

 

A.   If the opportunity cost of Capital is 11% calculate the NPV for both projects

 

Project NPV

 

Project A ?

 

Project B ?

 

B.  Which of these projects is worth pursuing?

 

Project A

Project B

Both

Neither

pur-new-sol

Purchase A New Answer

Custom new solution created by our subject matter experts

GET A QUOTE