Wells Inc. has to choose between two investment alternatives. Alternative A will return the company $20 000

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Wells Inc. has to choose between two investment alternatives. Alternative A will return the company $20 000 after 3 years, $60 000 after 6 years, and $40 000 after 10 years. Alternative B will bring returns of $10 000 per year for 10 years. If the company expects a return of 14% on investments, which alternative should it choose?
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Contemporary Business Mathematics with Canadian Applications

ISBN: 978-0133052312

10th edition

Authors: S. A. Hummelbrunner, Kelly Halliday, K. Suzanne Coombs

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