Question: You are considering two pollution control options (Project A and Project B) to meet new regulatory standards. Both options would be repeated indefinitely and have

You are considering two pollution control options
You are considering two pollution control options (Project A and Project B) to meet new regulatory standards. Both options would be repeated indefinitely and have a discount rate of 10%. Project A has a 5-year life and an NPV of -$2.78 million. Project B has a 9-year life and an NPV of -$4.10 million. Which option(s) would you choose? Explain and justify your decision. (10 marks)

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