Question: Please explain how you got to your answer. Thanks ABC Company is evaluating cash flow for two project proposals. Both require a $500,000 initial investment

Please explain how you got to your answer. Thanks ABC Company isPlease explain how you got to your answer. Thanks

ABC Company is evaluating cash flow for two project proposals. Both require a $500,000 initial investment and generate the following cash flow. The company uses a 5.50% discount rate Year Project A 2 4 Project B $40,000.00 $100,000.00 $48,000.00 $100,000.00 $58,000.00 $100,000.00 $69,000.00 $100,000.00 $83,000.00 $100,000.00 $100,000.00 $125,000.00 $119,000.00 $125,000.00 $143,000.00 $125,000.00 $172,000.00 $125,000.00 7 10 $205,000.00 $125,000.00 Calculate the cumulative cash flow for project A: S(Round to nearest dollar) Calculate the net present value for project A: S(Round to nearest dollar) Calculate the cumulative cash flow for project B: $(Round to nearest dollar) Calculate the net present value for project B: S(Round to nearest dollar) Which project should ABC Company select? OA. Project A Project B B

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