Use the NPV method to determine whether

RouseRouse

Products should invest in the following$$ projects:

bullet$$

Project

A$$:

Costs

$ $265$ comma $000$$$265,000$

and offers

eighteight

annual net cash inflows of

$ $52$ comma $000$$$52,000.$

RouseRouse

Products requires an annual return of

$1212\%$

on investments of this nature.

bullet$$

Project

B$$:

Costs

$ $385$ comma $000$$$385,000$

and offers

$99$

annual net cash inflows of

$ $70$ comma $000$$$70,000.$

RouseRouse

Products demands an annual return of

$1010\%$

on investments of this nature.