Example$-5$

Assume that ABC Inc is considering two projects namely Project $x$ and Project $Y$ and wants to calculate the NPV for each project. Both project $x$ and project $Y$ is four$-$year project and cash flows of both the projects for four years are given below:

$\backslash$table$[[$Year$,$Project A Cash Flows,Project B Cash Flows$],[1.,$$$5000,$$$1000$