Question: You are considering two mutually exclusive projects with the following cash flows. Which project(s) should you accept if the discount rate is 7 %? What

 You are considering two mutually exclusive projects with the following cash

You are considering two mutually exclusive projects with the following cash flows. Which project(s) should you accept if the discount rate is 7 %? What if the discount rate is 10%? Year lo Project Al -$275,000 0 11 Project B -$202,000 113,600 81,900 47,000 2 0 3 360,000 Multiple Choice Accept B at 7% and A at 10 %. Accept A at 7% and neither at 10 %. Accept A at 7% and B at 10 %. Accept project B as it always has the higher NPV. O Accept project A as it always has the higher NPV

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