What is the NPV for project A at the cost of capital? What is the...

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imageWhat is the NPV for project A at the cost of capital?

What is the NPV of project B at the cost of capital?

With the projects independent, what projects will you accept given the firm's cost of capital? (A, B, BOTH, or NONE)

A firm is considering two projects, A and B. Each project will last for 4 years. The projects are INDEPENDENT The projected cash flows for each project are shown below Year Project A 19.00 8.00 8.00 7.00 5.00 Project B -30.00 13.00 10.00 12.00 6.00 0 2 3 The cost of capital for the firm is 8.00%

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