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    NPV for both projects

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    The following are the cash flows of two projects:

    Year Project A Project B
    0 ?$340 ?$340
    1 170 240
    2 170 240
    3 170 240
    4 170

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    a. Calculate the NPV for both projects if the discount rate is 10%? (Do not round intermediate calculations. Round your answers to 2 decimal places.)

    Project NPV
    A = $ ________
    B = $________

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    b. Suppose that you can choose only one of these projects. Which would you choose?

    Project A
    Project B

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    https://brainmass.com/business/net-present-value/npv-both-projects-455473

    Solution Preview

    The following are the cash flows of two projects:

    Year Project A Project B
    0 ?$340 ?$340
    1 170 240
    2 ...

    Solution Summary

    The solution helps in computing NPV for both projects.

    $2.19