Question: You are comparing two projects. Project A is a ten--year project, with a 10% cost of capital and an NPV of $ $55 million. Project
You are comparing two projects. Project A is a ten--year project, with a 10% cost of capital and an NPV of $ $55 million. Project B is a seven--year project with an 8% cost of capital and an NPV of $45 million. If they are mutually exclusive, which one would you invest in? Project B because the equivalent annuity is higher Project B because the NPV is higher O Project A because the NPV is higher Neither Project Project A because the equivalent annuity is higher
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