Question: Using the net present value method, the total present value of cash inflows for Project A is $30,000 and the total present value of cash

  1. Using the net present value method, the total present value of cash inflows for Project A is $30,000 and the total present value of cash inflows of Project B is $40,000. If Project A and Project B both require an initial investment of $80,000 and have the same economic life, the project that should be accepted is

a. Project A.

b. Project B.

c. neither.

d. not capable of being calculated.

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