Consider two mutually exclusive R&D projects that Savage Tech is considering. Assume the discount rate for both projects is $11$ percent.

Project A: Server CPU $13$ micron processing project

By shrinking the die size to $13$ micron, the company will be able to offer server CPU chips with lower power consumption and heat generation, meaning faster CPUs.

Project B: New telecom chip project

Entry into this industry will require introduction of a new chip for cell phones. The know$-$how will require a large amount of upfront capital, but success of the project will lead to large cash'flows later on$.$

$\backslash$table$[[$Year$,$Project A$,$Project B$],[0,-$$$675,000,-$$$877,000$