Question: I need help in this question, I have only 30 minutes and i need fast help please Question 47 3.5 points Save An A project
I need help in this question, I have only 30 minutes and i need fast help please


Question 47 3.5 points Save An A project is expected to create operating cash flows of $28,500 per year for three years. The initial cost of the fixed assets is $59.000. These assets will be worthless at the end of the project. An additional $3,500 of net working capital will be required throughout the life of the project. What is the project's net present value if the required rate of return is 10 percent? O $11,004.88 O $8,375.28 O $7.504.88 O $2.700.00 O 514,504.88 Question 48 Information regarding two projects is presented below: Measure IRR NPV Payback period Risk level Project #1 896 $250,000 Project #2 1096 $140,000 4.5 years High 3.4 years Low If the projects are independent, which project(s) should the company select and, why is that the correct decision? Project #1 because it has the highest NPV. Project #2 because it has the highest IRR. O Accept both projects, because the IRR of both projects exceeds the WACC. O Accept both projects, because the NPV of both projects is positive
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