An analyst is evaluating two projects. Project A has projected cash flows of $$7,500,$$$6,000,$ and $$4,500$ for the next three years, respectively. Project $B$ has projected cash flows of $$4,500,$$$6,000,$ and $$7,500$ for the next three years, respectively. Assuming both projects have the same initial cost, the analyst knows that:

Multiple Choice

Project $A$ is more valuable than Project $B,$ given the same positive discount rate for each project.

Project $B$ has a higher net present value than Project A$.$

both projects offer the same rate of return.

given any positive discount rate, both projects have equal net present values.