Flows of monetized costs and benefits of two alternative. development are summarized below: End of year...

 

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Flows of monetized costs and benefits of two alternative. development are summarized below: End of year 1 2 3 Development project A Cost (xood) 95 70 - 30 Benefit (XOU$) 1 - 70 Development project B Cost (xou) 45 45 45 50 Benefit (xou) 25 50 100 150 If selection criterion is only the net present value (NPV) your by a discount rate of 18%, which of the two projects would you decide on, and why? Flows of monetized costs and benefits of two alternative. development are summarized below: End of year 1 2 3 Development project A Cost (xood) 95 70 - 30 Benefit (XOU$) 1 - 70 Development project B Cost (xou) 45 45 45 50 Benefit (xou) 25 50 100 150 If selection criterion is only the net present value (NPV) your by a discount rate of 18%, which of the two projects would you decide on, and why?

Answer rating: 100% (QA)

The net present value NPV of a project is the difference between the present value of its benefits a... View the full answer