Question: Which project should you choose if you are using Net Present Value (NPV) to decide? WACC for both projects = 8% Project L Cash

Which project should you choose if you are using Net Present Value

(NPV) to decide? WACC for both projects = 8% Project L Cash

Which project should you choose if you are using Net Present Value (NPV) to decide? WACC for both projects = 8% Project L Cash Flows CFO = -$275 CF1 = $125 CF2= $130 CF3 = $140 Project S Cash Flows CFO = -$95 CF1 = $70 CF2 = $60 CF3= $55 Project L Project S Either one because both projects have the same NPV Reject both projects because they both have negative NPV's.

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