Question: A CFO issued a report comparing two competing projects. She concludes that the NPV of project A is 50 lower than the project B. Please

A CFO issued a report comparing two competing projects. She concludes that the NPV of project A is 50 lower than the project B. Please find out the requirement return.

Year A B

0 -800 -1,000

1 100 100

2 440 800

3 1,400 1,500

15.23 percent

19.25 percent

32.02 percent

46.34 percent 3

2.02 percent

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