Question: The cash flows for two independent projects are found below: Project 1. Project 2 Year 0. -750,000. -1,150,000 Year1. 65,000. 350,000 Year2 150,000. 450,000 Year3.

The cash flows for two independent projects are found below:

Project 1. Project 2

Year 0. -750,000. -1,150,000

Year1. 65,000. 350,000

Year2 150,000. 450,000

Year3. 215,000 575,000

year4 300,000

year 5 325,000

A) calculation the NPV for each project with discount rates of 5,10 and 15%

B) Which project would you choose and why?

Note: you must use the excel formulas NPV in your answers.

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