Question: Project A Initial investestment is - $ 1 7 0 0 0 . Year one cash flow is $ 1 0 0 0 0 .

Project A Initial investestment is -$17000. Year one cash flow is $10000.Year two cash flow is $8000. Year three cash flow is $6000. Sum of discounted cash flow is $20204 with NPV of $3204. Project B Intial investment is -$17000. Year one cash flow is $10000. Year two cash flow is $6000. Year three cash flow is $16000. Sum of discounted cash flow is $26062 with NPV of $9062. Discount factor of 10% is applied. Determine which project the company should choose?

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