Tesla has business plans to invest in 2 new projects in the future. Project A requires...

 

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Tesla has business plans to invest in 2 new projects in the future. Project A requires an investment of $1 million which will give a return of $300000 each year for 5 years. Project B requires an investment of $750000 which will give a return of $100000, $150000, $200000, $250000 and $ 250000 for the next 5 years. Then Calculate the Net Present Value which can be used to decide which opportunity is better and should be invested in.< Tesla has business plans to invest in 2 new projects in the future. Project A requires an investment of $1 million which will give a return of $300000 each year for 5 years. Project B requires an investment of $750000 which will give a return of $100000, $150000, $200000, $250000 and $ 250000 for the next 5 years. Then Calculate the Net Present Value which can be used to decide which opportunity is better and should be invested in.<

Answer rating: 100% (QA)

To determine the Net Present Value NPV for each project we need to calculate the present value of th... View the full answer