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Amanda387 Amanda387
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3 years ago
A company is considering making an investment and is hesitating between two projects that
are mutually exclusive with cash flows as follows :

Years                         0                   1                     2                  3
Project A           -15 000          1 000           8 000         13 000
Project B.          -15 000          12 000         5 000         2 000

1- Calculate the net present value of each project.
2- What is the most profitable project?
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Answer rejected by topic starter
wrote...
#1
Educator
3 years ago
Project A           -15 000          1 000           8 000         13 000

Sum = 7 000

Project B.          -15 000          12 000         5 000         2 000

Sum = 4 000

Quote
2- What is the most profitable project?

Project (a)
Amanda387 Author
wrote...
#2
On Hiatus
3 years ago
thank you so mush
wrote...
#3
Educator
3 years ago
No problemo... when are these due? >> https://biology-forums.com/index.php?topic=1948144.0
Amanda387 Author
wrote...
#4
On Hiatus
3 years ago
please I forgot to mention this: Considering a rate of 10% :
Amanda387 Author
wrote...
#5
On Hiatus
3 years ago
A company is considering making an investment and is hesitating between two projects that
are mutually exclusive with cash flows as follows :
Years                      0                1                 2                    3
Project A         -15 000      1 000        8 000         13 000
Project B.        -15 000      12 000      5 000         2 000

Considering a rate of 10% :

1- Calculate the net present value of each project.
2- What is the most profitable project?
wrote...
#6
Educator
3 years ago
Quote from: med12 (3 years ago)
please I forgot to mention this: Considering a rate of 10% :

Do you have an example provide that I could follow along?

Not sure what to do with the 10%
Amanda387 Author
wrote...
#7
On Hiatus
3 years ago
unfortunately I have no example
Answer verified by a subject expert
bio_manbio_man
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#8
Educator
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3 years ago
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Amanda387 Author
wrote...
#9
On Hiatus
3 years ago
i should calculate the net present value of each project by Considering a rate of 10% but I don't know how
wrote...
#10
Educator
3 years ago
See my reply above, I did it
Amanda387 Author
wrote...
#11
On Hiatus
3 years ago
thank you soooo much
wrote...
#12
Educator
3 years ago
Quote from: med12 (3 years ago)
thank you soooo much

If you haven't done so already, please take a moment to review us using the link in my signature

I'll look @ your other questions when I get a chance
Amanda387 Author
wrote...
#13
On Hiatus
3 years ago
thank you so much you are the best
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