Question: Alpha Tech Corp. is evaluating two potential projects, both requiring an initial investment of $50,000. The after-tax cash inflows for each project are as follows:
Alpha Tech Corp. is evaluating two potential projects, both requiring an initial investment of $50,000. The after-tax cash inflows for each project are as follows:
Year | Cash Flows (Project A) | Cash Flows (Project B) |
0 | -50,000 | -50,000 |
1 | 15,000 | 20,000 |
2 | 15,000 | 20,000 |
3 | 15,000 | 20,000 |
4 | 20,000 | 10,000 |
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