Question: Year Project A Project B O -$ 58,000 -$ 73,000 1 38,000 37,000 2 33,000 46,000 3 28,000 49,000 The cash flows of Project

Year Project A Project B O -$ 58,000 -$ 73,000 1 38,000

Year Project A Project B O -$ 58,000 -$ 73,000 1 38,000 37,000 2 33,000 46,000 3 28,000 49,000 The cash flows of Project A are expressed in real terms, whereas those of Project B are expressed in nominal terms. The appropriate nominal discount rate is 13 percent and the inflation rate is 5 percent. Calculate the NPV for Project B. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

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