financial management (task 7)

User Generated

ghnacunznau95

Business Finance

Description

Project A and Project B require an initial investment of $10,000 and are expected to generate an equal cash inflow of $20,000 over their life of four years. The net cash inflow for each year of life of both the proposals is given below:

Required:

  1. Compute the present value of cash inflows generated by both the proposals assuming a discount rate of 18%.
  2. Which of the two proposals is better if compared using the net present value method?

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Explanation & Answer

Hello,can you please upload the photo that has the net cash flow for each project because it is not opening. You did not upload it the right way. Please do it as soon as possible so that I can work on the question.

Hello,
Can you please upload the photo that has the net cash flow for each p...


Anonymous
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