Review the NPV for Project #1 Variable Amount Discount rate (rate of return) .10 Cash flow for year one 0 Cash flow for year two 100000 Present value =npv(B6,B7,B8) Cost of investment 50000 Net present value (NPV) =b9-b10 Review the NPV for Project #2 Variable Amount Discount rate (rate of return) .10 Cash flow for year one 50000 Cash flow for year two 25000 Present value =npv(b15,b16,b17) Cost of investment 50000 Net present value (NPV) =(b18-b19) Evaluate the Projects Using NPV What does the NPV tell us about Project #1, and why is this important? What does the NPV tell us about Project #2, and why is this important