Question: Consider the following projects for problems MC13 - MC15: YEAR 0 1 2 3 4 Project A -$500 $100 $150 $200 $250 Project B -$350

Consider the following projects for problems MC13 - MC15:

YEAR

0

1

2

3

4

Project A

-$500

$100

$150

$200

$250

Project B

-$350

$150

$150

$80

$80

Project C

-$800

$175

$250

$300

$350

The cost of capital for the firm is 10%.

What is the NPV for project A?

Consider the following projects for problems MC13 - MC15:

YEAR

0

1

2

3

4

Project A

-$500

$100

$150

$200

$250

Project B

-$350

$150

$150

$80

$80

Project C

-$800

$175

$250

$300

$350

The cost of capital for the firm is 10%.

What is the NPV for project A?

$35.89

$11.29

$10.10

$25.08

$30.15

Question at position 14 14 3 points

Question at position 14 Using the information in MC13, if the projects are mutually exclusive, what is your decision?

Using the information in MC13, if the projects are mutually exclusive, what is your decision?

Take project A only

Take project A, B, and C

Take project A and B only

Take project C only

Take project B only

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